The U.S. Department of Commerce has imposed provisional anti-dumping duties of 93.5% on anode-grade graphite imports from China, citing findings that the materials were sold below fair market value.
As reported by Reuters, the duties will be uniformly applied to all Chinese manufacturers, without exemptions for individual pricing practices.
These new provisional duties are in addition to existing tariffs, bringing the total duty rate to approximately 160%, according to the American Active Anode Material Producers, the trade group that filed the complaint. The group includes U.S.-based companies such as Syrah Technologies (Louisiana), Novonix (Tennessee), Epsilon Advanced Materials (North Carolina), Anovion (New York), and SKI US (Georgia). The Commerce Department’s final determination is expected by December 5.
The tariffs apply to graphite material with a carbon content of at least 90% by weight, regardless of whether it is natural, synthetic, or a blend of both. Industry observers warn of potential downstream effects on battery prices.
According to Sam Adham, Head of Battery Materials at consultancy CRU Group, a 160% duty could increase the cost of an EV battery cell by approximately $7 per kilowatt hour. That translates to an additional $420 for a 60 kWh battery and $700 for a 100 kWh unit.
BloombergNEF data indicates that China accounted for roughly two-thirds of the nearly 180,000 tonnes of graphite products imported into the United States in 2023. The heavy reliance on Chinese supply has raised concerns among EV manufacturers.
Tesla, which produces battery cells with Panasonic at its Gigafactory in Nevada, previously opposed the tariffs, stating that domestic suppliers could not yet meet the necessary quality and quantity standards for graphite components.