The EU’s recent rollout of the Critical Raw Materials Act (CRMA) is a game-changer. I mean, we’re talking about a huge leap toward a more secure and sustainable supply of critical raw materials like lithium, cobalt, nickel, and manganese. These elements are the lifeblood of our high-tech industries and green tech—think electric cars, which are blowing up right now. You know the deal: Europe’s pretty much been at the mercy of countries like Australia, Chile, and China for these essential resources. We’re talking near 100% dependency on imports.
European law on critical raw materials
This European law is built on four pillars: setting clear priorities, ramping up European capabilities, strengthening supply chain resilience, and investing in research and innovation. By 2030, the EU aims to cover 10% of extraction, 40% of processing, and 15% of recycling in-house. The game plan also includes stress tests and promoting sustainable investments. Internationally, the EU’s looking to form win-win partnerships and launch a Critical Raw Materials Club. This is crucial because Europe’s reliant on imports—take magnesium, for instance, 97% of which comes from China.
So why is COFERMIN so pumped about this?
It’s simple: This legislation tackles one of the core challenges of our time—securing a steady supply of must-have materials like lithium, cobalt, and nickel. This is a step in the right direction to lessen our dependency on imports and diversify our supply chain. We see it as a win-win for everyone involved—from the producers to the consumers. In this context, we’re all in. Our market expertise and deep dive into raw material supply chain complexities make us a key player to untangle this web. We’re actively engaging with stakeholders, offering our insights as part of the solution.
But let’s not sugarcoat it. Even with these measures, the EU’s probably going to meet only 10-40% of its lithium needs by 2030, according to the Deutsche Rohstoffagentur (DERA). Self-sufficiency seems like a distant dream, but here’s the kicker: Recycling could be the game-changer. It’s still in its infancy and needs massive investments in technology and infrastructure.
The Deutsche Rohstoffagentur (DERA)
The German Raw Materials Agency (DERA) was established in 2010 as a branch of the Federal Institute for Geosciences and Natural Resources. Its mission? To ensure Germany’s safe, affordable, and sustainable supply of mineral raw materials. DERA evaluates raw material markets and international supply sources in the context of the energy transition and future tech. They keep businesses and policymakers in the loop about potential risks in the supply chain and back governmental and corporate security measures. The team is a powerhouse of experts from various fields, carrying out analyses based on both public and proprietary data.
The CRMA is a major, but not the only, step towards a self-reliant and sustainable raw materials policy in the EU. It’s going to take a village—from policymakers to industrial companies. We’re ready to throw our expertise into the ring to make this happen. From my volunteer work with the German Association of Economists and Business Economists, I know that the most effective policies come from close collaboration with industry. So let’s seize this moment to not only secure critical raw materials but also to boost a sustainable and green economy in Europe.
Benjamin Konn
Sales & Marketing Manager
I have been working as Product Manager at COFERMIN Chemicals for over a decade. After completing my bachelor’s degree in business administration at the University of Applied Sciences in Düsseldorf, I went on to specialize in business development and project management. In Essen, I found my professional home and faced the dynamic challenges of the chemical industry. In addition to my work, I was active as an honorary member of the Bundesverband Deutscher Volks- und Betriebswirte e.V. (Federal Association of German Economists and Business Economists). My professional life is characterized by market strategies, customer solutions and I appreciate the valuable professional contacts.