GrafTech International (EAF) 15th Annual Midwest IDEAS Investor Conference summary

Business overview and market positioning

• Leading producer of graphite electrodes, essential for electric arc furnace (EAF) steelmaking, with major markets in North America and Europe.

• Operates three of the largest, low-cost graphite electrode facilities globally, with significant vertical integration into petroleum needle coke.

• Provides value-added services, including technical support and furnace monitoring software, and is recognized for technical leadership and innovation.

• Recently introduced a 32-inch electrode and is developing a Net Zero electrode to support decarbonization in steelmaking.

• Products are highly engineered, with no substitutes currently available, and are critical for the recyclability of scrap metal into new steel.

Supply chain, capacity, and competitive advantages

• Vertically integrated into needle coke production, providing cost and supply security advantages, especially during market disruptions.

• Global footprint includes production in Mexico, France, Spain, and the U.S., aligning with customer locations.

• Accounts for about 25% of non-China graphite electrode capacity, with a consolidated market among the top five producers.

• Recently reduced electrode capacity by 24,000 tons in response to oversupply, with similar actions by Japanese competitors.

• Needle coke supply is tight, with only four producers outside China; Seadrift facility is the second largest in the West.

Industry trends and growth drivers

• EAF steelmaking is gaining share due to decarbonization, now at 50% of global production ex-China, up from 44% in 2015.

• Tracking 200 global projects could add 170 million tons of EAF steel capacity by 2030, driving up to 200,000 tons of incremental electrode demand.

• EV adoption is expected to double global needle coke demand to 2.8 million tons by decade's end, with regional supply imbalances likely.

• Western governments are pushing for self-sufficient battery material supply chains, increasing demand for non-Chinese needle coke.

• No new needle coke capacity has been added in the West since 1983, highlighting the strategic value of existing assets.