The battery anode market experienced a significant surge in growth in 2022, resulting in a supply/demand imbalance as natural graphite supply struggled to keep up. Prices for -100 mesh flake graphite rose by 25%, and Benchmark predicts that this trend will continue into 2023 due to increased demand from the anode sector and limited supply-side expansions. The anode sector saw a 46% growth in demand, whereas the supply of flake graphite only grew by 14%. The lithium-ion battery anode market surpassed traditional industrial applications to become the largest end-market for natural flake graphite in 2022. Furthermore, 2023 is expected to witness more stringent ESG standards globally, which will impact the anode supply chain even further. The industry is set to play a greater role in ESG issues, and the supply chain is likely to receive increased scrutiny in 2023.