Global Supply of Critical Raw Materials (CRMs)

Raw materials are crucial to the world. They form a strong industrial base, producing a broad range of goods and applications used in everyday life and modern technologies. Reliable and unhindered access to certain raw materials is a growing concern within the EU and across the globe. To address this challenge, the European Commission has created a list of critical raw materials (CRMs) for the EU, which is subject to a regular review and update. CRMs combine raw materials of high importance to the EU economy and of high risk associated with their supply.

Why critical raw materials are important?

• Link to industry - non-energy raw materials are linked to all industries across all supply chain stages
• Modern technology - technological progress and quality of life rely on access to a growing number of raw materials. For example, a smartphone might contain up to 50 different kinds of metals, all of which contribute to its small size, light weight and functionality.
• Environment – raw materials are closely linked to clean technologies. They are irreplaceable in solar panels, wind turbines, electric vehicles, and energy-efficient lighting.

China is the major supplier of critical raw materials, accounting for 70% of their global supply and 62% of their supply to the EU (e.g. rare earth elements, magnesium, antimony, natural graphite, etc.). Brazil (niobium), USA (beryllium and helium), Russia (palladium) and South Africa (iridium, platinum, rhodium and ruthenium) are also important producers of critical raw materials. The risks associated with the concentration of production are in many cases compounded by low substitution and low recycling rates. Source: European Commission