[All redactions in the document have been done in line with Art.4.1(b)] Ref. Ares(2021)6044578 - 05/10/2021

Transition to Low Carbon

Economy: demand for Raw
Materials

 

European
Commission

Global material extraction by resource type

a) historical (world, 1960-2015) and b) projected data
(world, 2015-2050)

Source: UNEP, World Bank database

 

200 200
istori b) Projections
To a) Historical data )Proj Im
ce
5 160 160
u
c _
ö 140 140 5 3
5 120 12032
= N
o 100 100 2 a
5 c
N) so 2 €
5 =3
in
ü 60 a
Ss 53
zz 40 40 © —
u
°So 20
>
0 0

oO nn va nun % dd no nm va nn &% di x no nm vo a nn &% «ei S N ©

Vo oo N NN 9% 9%  % 9 9% 09 9% 2 © oO" cd da in N. NN nm nm m SS ı

9 9% 9% 09% 09% 09 09% 09090909 0909 © 09 9 9 9 099 9 9 9 9 9 9 9 © © ©

A4ed FA Fe FA FA TAT — Te FT — FTA:— FT :;— FT :;—=— es T.;—=— es e=—=—. N. N N. N. N N NN NN NN NN N NN

BEE Biomass HEEEE Fossil Fuels Metalores EEE Non-metallicminerals GDP

 

GROW C2

EU industrial value chains
depend on Raw Mäterials

from third countries

 

Eırnnaan

Countries accounting for largest share of EU supply of CRMs a ne
Russia

 
 
 
   

 

     
 

> Automotive
> Defence CobaR en
> ICT m Silicon metal 23% j 3 #
> Electrical
Engineering, = Mafnkum 4306
including Erbium 40% 90%
, Hehum 51% Morocco 44%
batteries Semanumaos FE 20%
Mexico 62%
> Machinery Plooroper 27% Be om
Gadolinwum 40%
> Space so Phospharus 7 Be
Tantalum 43% \ W, q Holium 40%
x X Indium 28%
Natural rubber 220 \laanum 400
Magnesium 94%
Natural graphite 69%
Neodymium 40%
Praseodymmum 40%
Terbium 40%
Thulium 40%
Ytterbium 40%
Ytrıum 40%

> Public, political and media pressure on enterprises, their global value chains and
Corporate Social Responsibility approaches means growing awareness of the
need to demonstrate Responsible and Sustainable Sourcing and Extraction of

Raw Materials

Minerals&metals global value
chains: responsible and sustainable
sourcing and extraction of Raw

Materials

 

Responsible
Sourcing

Responsible

investors and Political and
financial market forces

Responsible „—

institutions

 

Extraction of
Raw Materials

 

 

 

Technological progress (data transparency, traceability and verifiability)

 

GROW C2

EU key sustainability actions related

to raw materials

 

European
Commission

 

EU SDG agenda

CAPACITY BUILDING

«PanAfGeo (Governance)

«EU Support European Partnership on
Responsible Minerals

«EU Support to Connex Initiative -
Contract negotiation/G7

TRADE

«Conflict Minerals Regulation & SME
support measure for OECD Due
Diligence Guidance

«Sustainable Trade and FTA chapter
on raw materials

TRANSPARENCY & PUBLIC
ACCEPTANCE

«Raw Materials Scoreboard
«Raw Materials Information System

" INDUSTRIAL POLICY
zo jects: «Strategic Action Plan on Batteries -
„Horizon projects: . Ethical Sourcing of Raw Materials

« 2020 Call on Responsible

Sourcing of Raw Materials

« MIREU and its voluntary guidance
on SLO

ENVIRONMENT FINANCIAL N
«Guidance on Natura2000 and non- ao an we Ben Drecive d
energy extractive industry em ry by Country Reporting an

GROW C2

Conflict Minerals

Regulation

 

Finished
Product

Contract
manufacturer
/ assembly

 
  

EU importers

> Cutting links between mining and financing military conflicts
> Conflict Mineral Regulation adopted in May 2017 will start on 1 January 2021

> By 2019 adoption of a comprehensive SME due diligence support system
facilitating uptake of the OECD Due Diligence Guidance

GROW C2

Conflict Minerals Regulation:

Raw Materials Information System:

GROW C2