--- title: Graphite Supply Challenges and Oversupply of Critical Battery Materials description: Graphite Supply Challenges and Oversupply of Critical Battery Materials image: https://pages.supplyframe.com/hubfs/Blog/adobestock-272314124-2-64c0ebef37cae%20(1).jpeg --- [![large-Supplyframe-Logo-web](https://pages.supplyframe.com/hs-fs/hubfs/large-Supplyframe-Logo-web.png?width=204&height=44&name=large-Supplyframe-Logo-web.png)](https://supplyframe.com/) [![Contact](https://hubspot-no-cache-na2-prod.s3.amazonaws.com/cta/default/7283073/ca0536c0-b32a-42e2-8621-61c35fb59ad0.png)](https://hubspot-cta-redirect-na2-prod.s3.amazonaws.com/cta/redirect/7283073/ca0536c0-b32a-42e2-8621-61c35fb59ad0) # IQ Insider *Powered by Commodity IQ* [![Subscribe to IQ Insider](https://hubspot-no-cache-na2-prod.s3.amazonaws.com/cta/default/7283073/68076d51-a4ec-43f5-9244-024375c6873b.png)](https://hubspot-cta-redirect-na2-prod.s3.amazonaws.com/cta/redirect/7283073/68076d51-a4ec-43f5-9244-024375c6873b) ## [Graphite Supply Challenges and Oversupply of Critical Battery Materials](https://pages.supplyframe.com/ciq/graphite-supply-challenges-and-oversupply-of-critical-battery-materials) Jan 23, 2024, 3:29:31 PM / by [Supplyframe](https://pages.supplyframe.com/ciq/author/supplyframe) - [Tweet](https://twitter.com/share) Previous Commodity IQ sourcing guidance to focus on graphite and manganese supply due to China’s export graphite restrictions has come to fruition – with export sales down a massive 91% month-on-month in December and the surge in sales in November before the restrictions, according to the GACC. China accounts for nearly all refined natural graphite, and China produces over 95% of battery-grade manganese. Conversely, lithium and cobalt remain in oversupply, with excess inventories and downstream de-stocking prevailing into H2 as automotive and other OEMs continue to push out orders and downgrade 2024 demand forecasts. While surplus nickel – LME inventories have risen markedly since Q3 2023 – lackluster demand has driven pricing down by 47% year-to-date. The buyer’s market will last into H2 for NCA and NMC battery chemistries. Critical battery materials remain plentiful for now – however, lithium, for example, is likely headed for shortage in 2025. #### Written by [Supplyframe](https://pages.supplyframe.com/ciq/author/supplyframe) supplyframe --- - [**Recent**](https://pages.supplyframe.com/ciq/graphite-supply-challenges-and-oversupply-of-critical-battery-materials#tab-1) # About Us Use this little footer to reinforce your message about who you are and why people love working with you. And since this is a global module, you only have to edit it once to make the changes across every page it appears on. [Learn More](https://www.hubspot.com) # Links # Contact Us (626) 793-7732 [yourname@company.com](mailto:yourname@company.com) 61 S Fair Oaks Ave Suite 200 Pasadena, CA 91105 Copyright © 2026 [Supplyframe](https://supplyframe.com/) Accessibility [Privacy Policy](https://sfcomdev.wpengine.com/privacy-policy/) [Terms of Service](https://sfcomdev.wpengine.com/terms/) ![](https://px.ads.linkedin.com/collect/?pid=1972124&fmt=gif)