Graphjet’s new machinery and laboratory completed, company is now hopeful to secure more collaborations and offtake agreements from its customers
Rhea-AI Summary
Graphjet Technology (GTI) has announced the successful completion of testing and commissioning of its new machinery, equipment, and laboratory facilities. The company's production capacity has increased by 7x, enabling it to manufacture specialized graphite and graphene for various industries, including semiconductors.
The new laboratory will enhance quality control, enable product customization, and support R&D initiatives. This expansion is strategically timed amid a global graphite shortage and growing demand from the semiconductor industry, particularly for AI chip manufacturing. The company's position is further strengthened by recent industry developments, including SoftBank's $2 billion investment in Intel and ARM's decision to develop its own AI chips.
Positive
- Production capacity increased by 7x with new machinery and equipment
- New capability to produce specialized graphite and graphene for semiconductor industry
- Strategic timing amid global graphite shortage
- New laboratory enables product customization and quality control enhancement
- Positioned to benefit from growing AI chip manufacturing demand
Negative
- Will require securing new collaborations and offtake agreements to utilize increased capacity
- Faces competition in rapidly evolving semiconductor industry
Insights
Graphjet's 7x production expansion and new semiconductor-grade capabilities position it to capitalize on critical AI chip manufacturing supply chain demands.
Graphjet's operational expansion marks a significant production milestone with machinery that increases capacity sevenfold while extending their product portfolio to serve the semiconductor industry. This timing is particularly strategic given the current graphite shortage affecting global supply chains. The newly commissioned laboratory infrastructure provides three critical advantages: custom material property development, enhanced quality control processes, and expanded R&D capabilities – all essential for targeting enterprise-scale semiconductor customers.
The semiconductor angle is particularly noteworthy as the industry undergoes a structural shift. ARM's strategy pivot toward building their own AI chips rather than licensing manufacturing creates additional demand nodes in the supply chain. SoftBank's
From a technical perspective, graphite and graphene are essential in semiconductor fabrication, particularly for high-temperature processes and precise thermal management components in advanced chip manufacturing. These materials function as crucial heat dissipation elements in next-generation AI processors, which generate significantly more heat than conventional chips. With both capacity expansion and quality control infrastructure now operational, Graphjet appears positioned to transition from development-stage activities toward commercial-scale customer acquisition and revenue generation.
New York, United States, Aug. 20, 2025 (GLOBE NEWSWIRE) -- Graphjet Technology (“Graphjet” or “the Company”) has completed the testing and commissioning of its new machinery and equipment. This has increased the Company’s production capacity by 7 times and with the enhanced functions of the new machinery and equipment, the Company is now also able to produce types of graphite and graphene for other industries, including the semiconductor industry. With this, the Company is now hopeful for more collaborations and offtake agreements from its customers.
In addition, it has also completed commissioning of its laboratory last week. The Company believes that with these new machinery, equipment and laboratory, the Company is geared towards catering for bigger and more sophisticated customers.
The laboratory is essential to the production of graphite and graphene as it will test the properties of both, allowing for (i) the customization of such properties to better suit the needs of its customers, (ii) better quality control over the graphite and graphene produced and (iii) the conduct of future research and development on new usage of graphite and graphene produced.
The ability to produce graphite and graphene for other industries is especially important in light of the recent graphite shortage . The Company will benefit from the growth in the semiconductor industry where many industry players are now moving towards production of next-generation AI chips, with the outlook being favourable especially since big players such as ARM are now deciding to build their own AI chips instead of licensing the manufacturing. On August 18, SoftBank announced a
“Graphjet stands to benefit from the U.S. market moving aggressively to build AI chip making capabilities as graphite and graphene play a crucial role in the semiconductor manufacturing, particularly in processes requiring high temperature and precise control.”, says Chris Lai, the CEO of Graphjet.
About Graphjet Technology Sdn. Bhd.
Graphjet Technology Sdn. Bhd. (Nasdaq: GTI) was founded in 2019 in Malaysia as an innovative graphene and graphite producer. Graphjet Technology has the world’s first patented technology to recycle palm kernel shells generated in the production of palm seed oil to produce single layer graphene and artificial graphite. Graphjet’s sustainable production methods utilizing palm kernel shells, a waste agricultural product that is common in Malaysia, will set a new shift in graphite and graphene supply chain of the world. For more information, please visit https://www.graphjettech.com/.
Cautionary Statement Regarding Forward-Looking Statements
The information in this press release contains certain “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements generally are identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “aim,” “future,” “opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result” and similar expressions, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements are predictions, projections and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Actual results may differ from their expectations, estimates and projections and consequently, you should not rely on these forward-looking statements as predictions of future events. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, including but not limited to: (i) changes in the markets in which Graphjet competes, including with respect to its competitive landscape, technology evolution or regulatory changes; (ii) the risk that Graphjet will need to raise additional capital to execute its business plans, which may not be available on acceptable terms or at all; (iii) Graphjet is beginning the commercialization of its technology and it may not have an accurate estimate of future capital expenditures and future revenue; (iv) statements regarding Graphjet’s industry and market size; (v) financial condition and performance of Graphjet, including the anticipated benefits, the implied enterprise value, the financial condition, liquidity, results of operations, the products, the expected future performance and market opportunities of Graphjet; (vi) Graphjet’s ability to develop and manufacture its graphene and graphite products; and (vii) those factors discussed in our filings with the SEC. You should carefully consider the foregoing factors and the other risks and uncertainties that will be described in the “Risk Factors” section of the documents to be filed by Graphjet from time to time with the SEC. These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward- looking statements, and while Graphjet may elect to update these forward-looking statements at some point in the future, they assume no obligation to update or revise these forward-looking statements, whether as a result of new information, future events or otherwise, unless required by applicable law. Graphjet does not give any assurance that Graphjet will achieve its expectations.
Graphjet Technology Contacts
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ceo.office@graphjettech.com
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FAQ
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