How Ontario Could Power a Graphite Revival

Battery makers localize graphite mining and processing to cut China risk as Global Battery Materials builds a regional supply chain

13 Nov 2025

North America’s battery industry is stepping up efforts to secure supplies of graphite, a critical material for lithium-ion batteries, as manufacturers seek to reduce reliance on China’s dominant processing sector.

Graphite, long viewed as a low-profile component, has gained strategic importance as electric vehicle and energy storage demand rises. While deposits are found in several countries, the processing required to produce battery-grade material is highly concentrated in China, creating exposure to trade tensions and export controls.

Global Battery Materials, a newly formed alliance, is seeking to address that gap. The group combines Canadian mining assets with South Korean processing technology to create an integrated graphite supply chain aimed at customers in the US and Canada. The plan reflects a broader shift towards localising supply chains that underpin the energy transition.

Central to the strategy is an Ontario graphite mine that previously operated and remains one of the few such assets in the region. The company plans to restart production and link the site directly to downstream processing facilities capable of producing battery-grade graphite.

China continues to dominate global graphite processing, reinforcing concerns among western manufacturers about supply risks. Recent export limits have heightened fears that availability could tighten as electric vehicle demand accelerates, even if mining capacity expands elsewhere.

By pairing North American mining with non-Chinese processing technology sourced from South Korea, Global Battery Materials aims to offer a more stable and transparent supply option. Industry executives say customers are increasingly focused not only on where raw materials originate, but also on how they are processed and whether long-term supply can be secured.

The project forms part of a wider regional push. Electra Battery Materials is advancing cobalt processing in Ontario, while Freyr Battery is building manufacturing capacity closer to end markets. Together, these investments suggest a battery supply chain that is becoming shorter and more regional.

Significant hurdles remain, including high capital costs and the time required to reach commercial scale. Cost competitiveness is also uncertain. However, government support and strong demand for batteries are helping to offset some of these risks, as control over processing becomes as critical as manufacturing itself.