Foreign dominance in key strategic areas is leading European sectors to supply crises, with further risks in the next decade.
The recent magnesium crisis, which has severely affected several EU sectors across the value chain, including aluminium and automotive, has fueled a high-level EU policy discussion on the issue of EU Strategic dependencies and EU Open Strategic Autonomy, which has an important dimension for metals supply chains.
Why it's important
China covers more than half of global production of processed minerals and metals and is the major EU supplier for several critical raw materials.
The success of the EU green and digital transitions will rely on Europe’s industrial leadership in the production of green technologies, such as e-vehicles, batteries, computers, solar panels, and wind turbines and a reliable supply of responsibly produced minerals and metals.
China currently supplies 93% of the EU’s Magnesium requirements
What we are seeking
In order to address the systemic issue of Europe’s strategic metals dependence, we recommend:
- Reduce strategic dependency diversifying global partners, and assessing the potential of Europe’s;
- Anticipate future shocks: through securing long-term supply sources while safeguarding an open, fair and rules-based trade;
- Safeguard EU industrial base: through safeguarding European businesses from unfair practices of non-market economies (i.e. China).