Since the financial downturn at the end of 2008, the graphite industry has had to face additional challenges, particularly in 2009. Adverse weather, regulatory measures in China, and a continuing global recession has drastically impacted end markets.
Last year was without doubt tough and during the two first quarters of 2009, many producers worldwide had to close mines or reduce production (IM March 2010: Graphite set to move up a gear).
“After a long winter period some mines have just re-started in May and they are now processing the orders from April, so a lot of material ordered for April shipments has to be postponed to May and June,” Dominik G. Luh, Technografit’s managing director, underlined to IM.
The economic downturn heavily impacted small and new prospective future producers. “You could not start talking to an investor about a new project,” Matimba Khoza, president of Jonkel...