ASX Trader: Donald Trump’s move on under-the-radar mineral turbocharges Aussie stocks

It’s been tucked away from the spotlight but this mineral is the powerhouse of your phone, cars and homes. And Trump’s latest move means big things for Aussie stocks, writes ASX Trader.

Tucked away from the spotlight, graphite is powering every lithium-ion battery in our phones, cars, and homes.

Now, thanks to escalating EV adoption and fractured global trade, it’s turning into a make-or-break resource for the next decade.

The problem? We may not have enough and investors are just starting to notice.

The unsung hero of battery technology

When people think of batteries, they think of lithium.

But the real workhorse inside your phone, your Tesla, and your solar battery is graphite.

Every lithium-ion battery, whether in an electric car, smartphone, or energy storage system relies on graphite to function.

In fact, graphite makes up more of the battery by weight than lithium.

The anode, which stores energy inside the battery, is almost entirely made of graphite.

Graphite represents almost 50 per cent by weight of the materials needs of batteries and each electric vehicle (EV) battery requires between 50 to 100 kilograms of graphite.

And with tens of millions of EVs forecast to hit the road by 2030, that adds up to a monumental surge in global demand.

The graphite supply chain.

China’s dominance and the global push for alternatives

For years, graphite has flown under the radar in global commodities largely because China controlled the entire supply chain.

China currently produces around 78 per cent of all natural graphite, and a staggering 98 per cent of battery-grade synthetic graphite comes from Chinese processing facilities.

This dominance has made graphite one of the most vulnerable links in the clean energy transition.

But that’s about to change.

China’s dominance in this field is set to diminish.

US tariffs and tensions: Trump’s big move

In a major geopolitical development this month, US President Donald Trump introduced a 93.5 per cent tariff on Chinese graphite imports.

That pushes the total cost of importing Chinese graphite into the US to more than 160 per cent when combined with existing duties.

This decision followed findings by the US International Trade Commission that Chinese producers were “dumping” graphite - selling it below fair market value, undercutting Western suppliers.

The move has turbocharged interest in local producers, especially in North America and Australia, and sent shares of non-Chinese graphite miners soaring.

President Donald Trump made a major move on Chinese graphite imports. (AP Photo/Julia Demaree Nikhinson)

Why Demand Is About to Soar

The next decade will see explosive demand growth for graphite due to:

1. EV Adoption

With electric vehicle sales booming globally, battery production is set to multiply - and with it, demand for graphite.

2. Energy Storage

As solar and wind installations rise, so does the need for grid-scale battery storage, which also relies heavily on graphite-based anodes.

3. De-risking the Supply Chain

Countries like the US, Australia, and members of the EU are now prioritizing domestic production of critical minerals like graphite to reduce reliance on China.

4. Government Support

Massive funding, fast-tracked approvals, and long-term purchase agreements are now flowing into the sector.

One estimate forecasts that global demand for battery-grade graphite will more than double by 2030 outpacing projected supply unless new sources are developed urgently.

The graphite market at a glance. Photo: Supplied

How Australian companies are stepping up

Australia is well positioned to become a key global graphite supplier, thanks to its geological resources, mining expertise, and political stability.

Here are some ASX-listed leaders:

Syrah Resources (ASX: SYR)

Operating the Vidalia anode materials facility in Louisiana.

Looking to scale from 11,000 tonnes to over 100,000 tonnes by the end of the decade.

Novonix (ASX: NVX)

Operating a graphite processing plant in Tennessee, USA.

Backed by over $1.2 billion in US government grants and loans.

Signed major supply deals with Panasonic, Volkswagen, and Stellantis.

Planning a second mega-plant to supply up to 75,000 tonnes annually.

Talga Group (ASX: TLG)

Building a vertically integrated graphite-to-anode project in Sweden.

Among the few non-Chinese companies with a full supply chain solution.

Other Notables

Renascor Resources (ASX: RNU)

Lithium Energy (ASX: LEL)

International Graphite (ASX: IG6)

These companies are attracting strong investor interest and government backing as they scale to meet global demand.

The big picture

Graphite is no longer the forgotten mineral.

It’s at the heart of the clean energy transition and geopolitical tensions are accelerating the shift away from Chinese control.

As countries build more EVs, install more renewables, and add more storage capacity, the need for secure, scalable graphite supply has never been clearer.

For investors, policymakers, and anyone watching the future of energy unfold, graphite is one material to keep firmly on the radar.

Originally published as ASX Trader: Donald Trump’s move on under-the-radar mineral turbocharges Aussie stocks