The chemical element used in pencils is graphite, a form of carbon. While the outer casing of pencils is typically made from wood, the "lead" inside—which isn't actually lead—is made of a mixture of graphite and clay. The ratio of graphite to clay determines the hardness or softness of the pencil. Graphite's unique properties, such as its ability to conduct electricity and moderate strength, make it an ideal medium for writing and drawing. Graphite is also utilized in other applications, including lubricants, batteries, and as a component in steel production.