Graphitized Petroleum Coke Price Skyrockets in January-February 2025

In January and February 2025, the global graphitized petroleum coke market witnessed unprecedented price hikes, driven by a combination of supply chain disruptions, surging demand, and cost inflation.

Price Trends:

• ​January Surge:​ Low-sulfur petroleum coke (LSPC) prices began climbing in early January, with benchmark prices increasing by 24%-29% for major producers such as Fushun and Jilin Petrochemicals1. By mid-January, the average price of 3B grade petroleum coke reached 3,193 yuan/ton, setting the stage for further gains.
• ​February Explosive Growth:​ Post-Lunar New Year, LSPEC prices skyrocketed by over 1,000 yuan/ton in just a week. For instance, Jinzhou Petrochemical’s LSPEC surged from 4,500 to 5,500 yuan/ton, while Fushun’s climbed from 4,800 to 5,800 yuan/ton1. By February 13, the average price of 3B grade had jumped 41.8% to 4,529 yuan/ton, marking the highest level in the same period since 20223. The monthly average price for February reached 3,262 yuan/ton, a 46.3% increase from January.

Key Drivers:

1. ​Supply Crunch: maintenance and production cuts, coupled with tightened import policies, reduced domestic supply by 3.7% in January. Global low-sulfur sponge coke imports also dwindled, exacerbating shortages.
2. ​Demand Boom: The rapid expansion of lithium battery and electrolytic aluminum industries fueled demand. Over 5.96 million tons of new negative electrode material capacity came online in 2025, while electrolytic aluminum output rose 4% year-on-year.
3. ​Cost Push:* Crude oil prices rebounded amid OPEC+ supply cuts and geopolitical tensions, increasing production costs by 600-700 yuan/ton.

Market Outlook:*
Prices are expected to remain elevated in the short term, with LSPEC likely leading the gains due to its critical role in lithium batteries and prebaked anodes

However, downstream industries may face cost pressures, potentially moderating demand

Impact on Downstream:
The price surge has rippled through the lithium battery supply chain, with graphite electrode prices rising by 1,000 yuan/ton and negative electrode material costs increasing by 40%

This could accelerate the shift toward alternative materials like silicon-carbon and hard carbon

Conclusion:
The 1-2 month price trajectory underscores the volatile nature of graphitized petroleum coke markets amid structural shifts in energy and battery technologies. Stakeholders must navigate the tight supply-demand balance while preparing for potential regulatory and technological disruptions