Targets set out in the CRMA to reduce dependence will be difficult to meet.
At the beginning of the year, the European Court of Auditors warned that the EU was at risk of missing the raw materials targets set out in the Critical Raw Materials Act. Efforts to diversify import sources had so far “not produced tangible results”. The Munich-based ifo Institute, a leading center for economic research in Germany, has now reached a similar conclusion. The EU accounts for more than 5% of global mine production for only four of the 27 critical raw materials examined, while its share is zero for nine, according to the researchers. Announcements are no longer enough; concrete projects and firm financing commitments are needed, said Isabella Gourevich of the ifo Institute.
The study also points out that the EU may have substantial raw material deposits, but it remains unclear whether they can be developed economically.
According to the study, higher tariffs would offer only limited protection for Europe’s raw materials industry against particularly low-cost imports. For nearly all products examined for which data were available, the EU has already exhausted the scope permitted under World Trade Organization rules. Reliable market prices and production cost data are also unavailable for many raw materials. The ifo Institute therefore considers direct support measures—such as financing commitments, risk sharing and long-term offtake agreements—to be more effective.
To the study: https://www.ifo.de/publikationen/2026/monographie-autorenschaft/mapping-eu-landscape-critical-raw-materials
Photo: Tom Fisk via Canva
