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Qingdao graphite industry started "value war"
**Abstract**
Graphite mined from the Laixi mine is sold for only 5,000 yuan per ton, but after being deeply processed abroad, it can be worth as much as 300,000 US dollars per ton when it returns to Qingdao Port! What a massive price difference! Why can't we do this ourselves? Yesterday, the Qingdao Inorganic Non-Metal Industry Association held its first meeting in Laixi, marking the city's first official association dedicated to the inorganic non-metallic materials sector. Moving forward, under the guidance of government departments and industry associations, the Qingdao graphite industry is set to embark on a "value-adding" journey. By developing high-end products like graphite paper and graphene, raw graphite can see its value multiplied by several times or even hundreds of times.
**Qingdao is China’s Major Graphite Production Area**
The inaugural meeting was attended by over 70 companies in the industry, most of which are involved in graphite and silicon carbide production. According to reports, the inorganic non-metallic industry plays a crucial role in supporting future global development, with extensive applications and significant growth potential.
China possesses the world's largest graphite reserves, leading in production, sales, and variety. With 2 billion tons of reserves—accounting for 72% of the world’s total—and producing 80% of the global supply, China is one of the three major graphite-producing regions. Qingdao alone holds 22% of the national graphite reserves and has developed a number of influential enterprises engaged in mining, processing, application, and R&D. International giants such as Mitsubishi Chemical, Xinhuajin Group, and Qingdao ASUS Precision Ceramics have invested in inorganic non-metallic projects in the city, planning to establish state-level R&D centers and further expand the industry’s potential.
**Rare Graphite Sold at “Cabbage Priceâ€**
Graphite, a crystalline form of carbon, is a rare non-metallic mineral known for its excellent properties: lubricity, chemical stability, heat resistance, and conductivity. It plays an irreplaceable role in both industrial and everyday life—from pencils and gaskets to TV picture tubes, atomic bombs, and stealth aircraft. In recent years, with technological breakthroughs, graphite has become increasingly vital in high-tech fields, emerging as a strategic material.
However, despite abundant resources, China has long struggled to sell its graphite at a premium. Most domestic producers still focus on basic processing, with a short industrial chain and low technical content in deep-processing products. Compared to developed countries, there's a significant gap. For example, while China exports high-carbon graphite at 5,000 yuan per ton, it imports fluorinated graphite at 300,000 US dollars per ton annually.
**Qingdao’s Graphite Deep Processing Rate Is Only 20%**
“The price gap between imports and exports is real,†said Director Feng Wei of the Municipal Economic and Information Commission. Even though Qingdao produces high-quality graphite, it’s often exported at just a few thousand yuan per ton. Meanwhile, foreign manufacturers use similar materials to make components like artificial heart valves, selling them for up to 120,000 yuan each. This disparity has driven the formation of the Inorganic Non-Metal Industry Association, aiming to promote deeper processing and value addition.
Currently, Qingdao’s deep processing rate stands at 20%, with plans to increase it further. “We’re now capable of producing high-end graphite materials that can be sold by the gram,†said Dr. Yu Qingguang from Qingdao University of Science and Technology. The city has already developed 0.05 mm graphite paper used in smartphones, and some companies are working on 0.02 mm versions. Others are exploring graphene, with pilot projects underway. These advanced products can fetch prices ranging from hundreds of thousands to millions of yuan per ton—earning them the nickname “sell by the gram.â€
**Glossary**
Inorganic non-metallic materials refer to substances composed of oxides, carbides, nitrides, halides, borides, silicates, aluminates, phosphates, and borates of certain elements. They are a general term for all materials excluding organic polymers and metals.