Natural Graphite Anode Supply Chain: Idemitsu Builds Japan–Australia Battery Materials Network

On February 4, Idemitsu Kosan Co., Ltd. announced an agreement to establish a natural graphite anode supply chain linking Japan and Australia, addressing growing supply risks in lithium-ion battery materials. The initiative is designed to improve procurement stability for Japanese battery manufacturers while reinforcing the broader battery material supply chain across Asia.
The project brings together Australia-based Graphinex Pty Ltd., Marubeni Corporation, and NSC Co., Ltd., combining upstream resource access with downstream production and supply capabilities. By coordinating across multiple stages of the value chain, the companies aim to mitigate dependency risks associated with imported anode materials.

Building a Japan–Australia natural graphite anode supply chain

At present, Japan’s lithium-ion battery anode material procurement depends heavily on imports, which exposes manufacturers to supply disruptions and geopolitical risks. The new natural graphite anode supply chain is intended to reduce these vulnerabilities through a more controlled and diversified sourcing structure. High-quality graphite sourced from Queensland, Australia, where Graphinex holds an ownership stake, will form the foundation of this supply network. The arrangement spans resource mining, anode material processing, and final supply to battery manufacturers, creating an integrated framework between the two countries.

Focus on production, stability, and commercialization

Beyond securing raw materials, the four companies will jointly evaluate opportunities for producing natural-graphite-based anode materials. Discussions are underway to commercialize the project, with a particular emphasis on ensuring long-term supply reliability and cost competitiveness. As part of these efforts, candidate locations for a natural anode material production facility are being assessed. Establishing local or regional production capacity is expected to further strengthen supply resilience while supporting the expanding demand for lithium-ion batteries in electric vehicles and energy storage systems. By aligning resource ownership, production planning, and supply coordination, the partnership reflects a strategic move to reinforce Asia’s battery material ecosystem and support the long-term growth of advanced battery technologies.