Ensuring the sustainable supply and use of raw materials

This European Commission paper puts forward measures to secure and improve access to raw materials for the European Union (EU), a key factor for its competitiveness.

ACT

Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions tackling the challenges in commodity markets and on raw materials (COM(2011) 25 final of 2.2.2011)

SUMMARY

WHAT DOES THIS COMMUNICATION DO?

It pursues and strengthens the 3 objectives of the raw materials initiative (RMI), drawn up in 2008:

• ensuring a sustainable and fair supply from international markets;
• creating sustainable supply within the EU;
• strengthening resource efficiency and recycling.

KEY POINTS

• A way to meet the goals of the Europe 2020 strategy for smart, sustainable and inclusive growth (under the innovation union and resource-efficient Europe parts of the strategy).
• European innovation partnership (EIP) on raw materials. Established in 2013, this public-private partnership’s mission is to provide high-level guidance to the European Commission, EU countries and private organisations on innovative approaches to the challenges related to raw materials. It aims to help raise the industry’s contribution to the EU’s gross domestic product (GDP) to around 20 % by 2020.
• A list of 14 critical raw materials* (which, in 2014, increased to 20). The list is reviewed every 3 years.
• ‘ Raw materials diplomacy ’. This involves raising raw material-related issues in dialogues between the EU and other countries. Topics discussed include transparency of the supply chain, traceability of raw materials (to ensure that they are sourced responsibly) and financial openness.

BACKGROUND

Raw materials are essential to the EU economy. Their efficient use and extraction in the EU can be difficult due to sustainability factors and strict environmental laws. Meanwhile, guaranteeing a steady supply from outside the EU is difficult for reasons such as trade barriers, political instability and price fluctuations (which became severe in 2008).

For more information, see policy and strategy for raw materials on the European Commission’s website.

KEY TERMS

* ‘Critical’ raw materials are raw materials that are economically important (in terms of value added to GDP) but also with a threatened supply (due to a variety of factors, such as political stability or regulatory quality, that make up the world governance indicator).

The current list of critical raw materials consists of antimony, beryllium, borates, chromium, cobalt, cooking coal, fluorspar, gallium, germanium, indium, magnesite, magnesium, natural graphite, niobium, platinum group metals, phosphate rock, rare earth elements (REEs) (heavy), REEs (light), silicon metal and tungsten.

RELATED ACTS

Report from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions on the implementation of the raw materials initiative (COM(2013) 442 final of 24.6.2013)

Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions on the review of the list of critical raw materials for the EU and the implementation of the raw materials initiative (COM(2014) 297 final of 26.5.2014)

last update 28.08.2015