Graphite resources in China may disappear in 20 years
Graphite, an important strategic resource, is not considered treasure like rare earth materials in China, with the nation's graphite industry functioning as a raw material supplier, with experts fearing that resources could be exhausted in 20 years, reports the state-run China News Service, citing an expert.
Graphite has become more important since 2010 with the awareness of the applications of graphene which is produced from graphite, with many scientists believing graphene will become a revolutionary new material that can push the electronic industry into a few stage and create an industry worth at least 100 billion yuan (US$16 billion), CNS said.
Graphene is pure carbon in the form of a very thin, nearly transparent sheet one atom thick. It is 100 times stronger than steel and it conducts heat and electricity with great efficiency. Zhang Bin, president of the China Graphite Industry Association and chairman of Inner Mongolia Rising Investment, told CNS that he is worried about the nation's current graphite industry, and has urged the government to put more emphasis on the upgrade and transformation of the industry.
Five years ago, Zhang invested 5.1 billion yuan (US$818.5 million) in the deep processing of graphite, making Rising Investment Group the nation's top graphite producer and the world's No. 2. China's reserves meanwhile have reached 55 million tonnes, accounting for 77% of the world's total.
The country's export price of graphite has maintained at between 3,000 yuan and 4,000 yuan (US$480-$640) per tonne for quite a long time, but after graphite is processed by foreign companies and imported back to China, the price jumps to 100,000 yuan or even 200,000 yuan (US$16,000-$32,000) per tonne. In 2010, China exported 585,500 tonnes of graphite, while imported 76,000 tonnes of processed graphite products, and the situation has lasted for nearly three decades, customs figures showed.
Zhang said without a strong downstream graphite industry, China has no right to set the prices for exported graphite raw materials in the global market, and imported graphite product prices will continue to surge. "If we don't change such situation, in another 20 years, China's graphite resources will all be exhausted," he said.
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