Indian graphite electrode makers climb after US-based GraphTech plans Mexico closure
BUZZ-Indian graphite electrode makers climb after US-based GraphTech plans Mexico closure ** Shares of India's graphite electrodes manufacturers HEG HEGL.NS rise 1.1% to 737 rupees and Graphite India GRPH.NS up 4.8% to 736.75 rupees
** GraphTech International, a U.S.-based graphite electrode company, announced the closure of its Mexico manufacturing facility by second quarter of 2027
** ICICI Direct Research says the development comes as excess global graphite electrode capacity has pressured prices and profitability in recent years
** Notes closure of 7% of global graphite electrode capacity could reduce excess supply and improve the demand-supply balance
** Notes the move is positive for Indian producers including HEG and Graphite India, as it could help cushion the impact of higher costs linked to geopolitical tensions
** Lower global capacity could support prices, with Indian producers expected to raise prices from September 2026, says ICICI Direct Research
** HEG stock up 18.42%, YTD
** Graphite India stock up 14.98%, YTD
(Reporting by Anushka Rajvedi in Bengaluru)
((mailto: anushka.rajvedi@thomsonreuters.com))
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