I. Overview of the Graphene Industry

Graphene is a two-dimensional carbon nanomaterial composed of carbon atoms arranged in a hexagonal, honeycomb lattice via sp2 hybridized orbitals. It exhibits outstanding optical, electrical, and mechanical properties and holds significant potential for applications in materials science, micro- and nano-fabrication, energy, biomedicine, and drug delivery. As such, it is regarded as a revolutionary material of the future.

Graphene is primarily classified into four types: single-layer graphene, bilayer graphene, few-layer graphene, and multilayer graphene.

Classification of Graphene

Source: Compiled by Hua Jing Industry Research Institute

The upstream of graphene includes raw materials such as graphite ore and methane; the midstream involves the manufacturing of graphene compounds and graphene films; and the downstream encompasses applications such as coatings, composite materials, conductive materials, and flexible panels.

II. Current Status of the Graphene Industry

As people’s understanding of graphene becomes more rational, products and companies lacking competitiveness will find it increasingly difficult to survive. As a cutting-edge new material with extremely high technological content, graphene is not suited for large-scale “mass movements” akin to crude steel production—only enterprises possessing core competitive advantages will be able to thrive. Data shows that from 2012 to 2018, the number of graphene-related enterprises in China continued to grow. From January to November 2019, the number of such enterprises surpassed 10,000, reaching 10,474.

Source: Compiled from publicly available information

Data show that from 2011 to 2017, the number of global graphene patent applications maintained relatively rapid growth. In 2018, the global number of graphene patent applications reached 18,923, a year-on-year decrease of 1.29%. As of August 2019, the total number of global graphene patent applications in 2019 stood at 3,257.

Source: Compiled from publicly available information

Data show that the number of graphene patent applications received in China from 2011 to 2018 showed a year-on-year growth trend, with 3,101 graphene patent applications filed in 2019.

Source: Compiled from publicly available information

Relevant Report: "2020-2025 China Graphene Industry Market Operation Status and Industry Development Trend Report" released by Hua Jing Industry Research Institute

III. Analysis of Policies Related to the Graphene Industry

In recent years, guided by national policies, China’s graphene industry has developed rapidly. Currently, a graphene industrial landscape has basically taken shape, with the Yangtze River Delta, the Pearl River Delta, and the Beijing-Tianjin-Hebei-Shandong region serving as major agglomeration zones, while distributed development is occurring in many other regions across the country. In addition to vigorously building production bases and promoting the industrialization of graphene, several Chinese provinces and cities have introduced numerous specialized policies targeting graphene. For example, Changzhou City has established a “Carbon Special Fund” totaling 2.5 billion yuan; Shenzhen has proposed building a national—and even global—center for the graphene industry; and Guangxi has released the nation’s first set of local standards for graphene, providing guidance for the rapid development of related local industries.

Source: Compiled from publicly available information

IV. Analysis of Development Strategies for the Graphene Industry

(1) Leverage the roles of both the market and the government, and enhance the targeted nature of policies.

First, products and technologies with low technological content should be left to the market for verification. The government can regulate the market environment and uphold fair competition by strengthening standard-setting, inspection, and testing measures, while also identifying high-quality products for industrial demonstration. Second, we should align graphene’s key research directions with the strategy of building a manufacturing powerhouse. Focusing on the needs of cutting-edge fields such as next-generation information technology, aerospace equipment, energy-saving and new-energy vehicles, and biopharmaceuticals, we must concentrate our efforts and, at the national level, strategically plan for cutting-edge and forward-looking areas, core technologies, patents, and products. Third, we should promptly develop and implement a roadmap for assessing the maturity of graphene technology. This roadmap should include evaluations of technology maturity levels, as well as assessments of key enterprises’ technological maturity, operational status, and product sales performance. By conducting scientific evaluations of the industry’s stage of development and its growth prospects, we can avoid unwarranted optimism and excessive hype.

(2) Strengthen research and development on advanced applications, and promote breakthroughs in large-scale, green preparation technologies.

First, we must strengthen close collaboration between enterprises and universities and research institutions, establish industrial innovation platforms, and build a technology innovation system centered on enterprises and integrating industry, academia, and research. We should also optimize key product value chains, stimulate market demand, and accelerate the industrialization process. Second, we need to continue consolidating various innovation resources, develop a catalog of technological innovations and a roadmap for technological breakthroughs, encourage research and innovation in high-end graphene applications, and organize leading forces to tackle key technical challenges in major projects and critical applications. In particular, we should intensify efforts to advance core technologies such as material preparation techniques, clean production technologies, and high-end downstream applications, and speed up the commercialization of breakthrough technological achievements. Third, we must continue exploring transformative technologies for graphene materials, actively monitor trends among major international corporations, and identify killer high-end application areas, directions, and products.

(3) Accelerate the promotion of traditional applications and foster a military-civilian integration market.

First, we will leverage graphene’s role in driving the upgrading of traditional industries such as anti-corrosion coatings, thermal management materials, lubricants, and composite materials. We will select graphene-based products that have largely achieved mass production, boast relatively mature technologies, and enjoy high recognition among downstream users to carry out application demonstrations, cultivate a group of leading adopters, and accelerate the development of downstream markets. Second, taking advantage of the high performance requirements and low cost sensitivity inherent in military applications, we will promote the application of the graphene industry in military products. In the short term, this can support relatively mature industries such as graphene batteries, sensors, and composite materials. In the medium to long term, we can focus on supporting industries with longer R&D cycles, higher capital investment, and broad application prospects—such as graphene integrated circuits, transistors, information storage, and supercapacitors—thereby leveraging military-civilian integration to advance high-end graphene applications.

(4) Emphasize the construction of the National Graphene Innovation Center.

First, in the preparation of the National Graphene Innovation Center, we must fully reflect the national will and, in terms of core positioning, thoroughly incorporate the nation’s strategic needs. We should strengthen our efforts to develop key technologies for the industry—for instance, intensifying research and development on advanced graphene material preparation technologies, and making strategic arrangements for core technologies and critical equipment related to high-value graphene applications such as optoelectronic devices, semiconductors, and integrated circuits. Second, we should place great emphasis on the participation of downstream application enterprises, especially large-scale ones. It is recommended that clear requirements be set regarding the proportion of downstream application enterprises and their rankings within the industry. Existing provincial innovation centers should be guided to enhance their ability to attract resources toward downstream application enterprises—particularly leading companies—and fully leverage these enterprises’ market advantages. Guided by market demand, we should accelerate the large-scale adoption of graphene.