Make raw materials the foundation of Europe’s industrial success, says metals industry

 

Brussels, 10 March 2020: “Today’s Industrial Strategy recognises that Europe’s climate & digitalisation ambitions are dependent on a secure and sustainable access to strategic raw materials. Europe must now follow other world regions in making resource security a top strategic issue. We fully support the EU’s plan to create a Raw Materials alliance for achieving its industrial objectives”, Guy Thiran, Director General of Eurometaux, said on the publication day of the European Commission’s Industrial Strategy.

 

“Metals are the key enabling raw material of Europe’s Green Deal and will be demanded in dramatically higher quantities as the foundation of strategic value chains. But Europe is already falling behind in the global raw materials race despite its leading environmental standards. While more polluting countries have invested heavily into growing their metals production through state support, coal-fired power generation & subsidies, our own global share has fallen. Europe’s industrial strategy is an opportunity to rebalance the scales while establishing fair competition”.

 

According to the World Bank, the world in 2050 will require 200% more metals in wind turbines, 300% in solar panels, and 1000% in batteries – plus other applications including clean mobility and zero-energy buildings. Europe already has a high import dependency for its primary raw materials, including 100% import reliance for several critical metals. Our smelting and refining industry is also increasingly pressured by global competition, for example with over 30% of Europe’s primary aluminium production capacity idled since 2008.

 

Over the same timescale, China (in particular) has made its metals production a key strategic industry, now producing between 30% & 60% of the world’s primary base metals and close to 100% for several critical raw materials. Investing into domestic metals production and recycling while establishing a level playing field through EU competition policy reform will help Europe guarantee sustainability for its strategic value chains. Europe’s metals industry already has a carbon footprint up to eight times lower than China and other regions, and together with other energy-intensive sectors has defined the framework conditions required for meeting the EU climate-neutrality goal (through the 2019 industrial transformation masterplan). By expanding European production, the EU’s industrial strategy will help to lower dependence on carbon-intensive metals imports from other regions of the world.

 

Guy Thiran continued: “Europe’s industrial policies must aim to boost primary & secondary raw materials production - from mining & recycling through to the final product – while providing the major support required for transitioning to climate-neutrality. Our future is dependent on firm action to guarantee a competitive supply of low-carbon energy for industry, and measures to tackle global trade and competition imbalances. Lastly, we call for a coherent approach to implementing climate-neutrality, circular economy and chemicals policies in the context of the Green Deal”.

 

Contact: Chris Heron, Communication & Public Affairs Director | heron@eurometaux.be | +32 (0) 493 18 89 63

 

About Eurometaux: Eurometaux is a trade association representing the collective European non-ferrous metals industry, including smelters, refiners, transformers and recyclers of all non-ferrous metals produced industrially in Europe. In total the industry employs 500,000 people across over 900 facilities, with an annual turnover of €120bn.