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ARTICLE · 24 APRIL 2024

Critical Raw Materials Act: An Update

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Since 2011 the European Union assesses critical raw materials ("CRMs") via a three-yearly list.

European UnionEnergy and Natural Resources

Introduction
Since 2011 the European Union assesses critical raw materials ("CRMs") via a three-yearly list. Raw materials are considered critical as they are used in high impact industries like energy transition and digital technologies, but at the same time are scarce and/or difficult to mine. A year after the introduction by EU Commission President Ursula von der Leyen, what is the status of the Critical Raw Materials Act and what does it entail for companies and investors involved?

Background and Aim
The Critical Raw Materials Act, also known as CRMA, is designed to ensure the European Union to be able to access a secure and sustainable supply of critical raw materials, aiming to meet 2030 climate and digital objective. CRMs are used in a variety of (strategic) industrial and technological sectors, including renewable energies, space and defense. CRMs are mostly sourced outside the EU. For CRMs the EUR heavily relies on China, which exports 90% of all rare

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