It may take getting a bit close to 1 January 2025 before the...

It may take getting a bit close to 1 January 2025 before the non-Chinese graphite market starts to fire although I'm surprised the non-Chinese graphite market is still as soft as it is. Perhaps everyone is waiting for the final interpretations of foreign entity of concern before realising the alternative supply chain just doesn't exist. I'm sure the OEM's have put in dozen's of submissions to the US authorities pointing this out while the US authorities position seems to be that if we are going to give out these big $7,500/vehicle payments you need to play by the rules we set meaning build the new supply chains.

While I note the date of 1 January 2025 above I think the effective problematic date is a little earlier than that. The text I'd been reading mentions sold and placed into service. I think that will mean the OEM's will be looking for compliant supply chains late 2024 so that if the late 2024 production isn't sold and delivered in 2024 it will be compliant with the rules that will apply to 2025 production.


Administration defines “Foreign Entity of Concern” with implications for EV batteries under the IRA - Hogan Lovells Engage
https://www.engage.hoganlovells.com/knowledgeservices/news/administration-defines-foreign-entity-of-concern-with-implications-for-ev-batteries-under-the-ira