Strengthening access to vital raw materials between the European Union and Canada

From everyday smartphones to the advanced electric vehicles, critical raw materials (CRMs) form the backbone of modern and clean technologies, making them essential to achieving a climate-neutral, digital future.

CRMs are indispensable in modern economies, from rare earth elements to metals like lithium and cobalt. They power renewable energy, electric vehicles, and advanced digital technologies, making them vital to the green and digital transitions. But with limited global suppliers and rising demand, their supply chains are highly vulnerable. Ensuring reliable and diversified access to CRMs is not just about technological progress — it is a matter of economic resilience and strategic security.

Industries and economies in the European Union (EU) have relied on suppliers based in countries like China, Russia, and Brazil for access to CRMs. As much of the global supply is concentrated in just a few countries, ensuring access remains a major challenge that is compounded by the difficulty of substituting or recycling such materials.

The EU has made significant efforts to build a resilient CRM value chain while upholding sustainability and broader development goals. Since 2011, it has maintained a list of CRMs considered essential for economic growth but vulnerable to supply risks, which now stands at 34 materials. More recently, the European Raw Materials Alliance was launched in 2020 to strengthen CRM supply and foster a resilient value chain.

A cornerstone of the EU’s CRM strategy is forging strategic partnerships with supplying countries. The first of such partnerships was announced in 2021 with Canada, described as a like-minded partner to the EU. The agreement focusses on integrating CRM value chains; strengthening cooperation in science, technology, and innovation; and advancing environmental, social, and governance standards.

As a first step in implementing this strategic partnership, the EU Delegation in Canada is implementing a three-year initiative facilitated by a consortium between NIRAS, a consulting company, and the Geological Survey of Finland (GTK). Through close coordination with stakeholders from the EU and Canada, the project will:

• Enhance collaboration and investment opportunities;
• Foster joint research and innovation;
• Promote inclusive environmental, social and governance (ESG) standards; and
• Organise an EU presence at the Prospectors & Developers Association of Canada, the largest mineral industry group in Canada.

“We are excited to be part of this project that aims to strengthen transatlantic collaboration across the entire CRM value chain – from exploration to ESG standards – ensuring a stable, diversified and sustainable supply of materials essential for the green and digital transitions,” says NIRAS Project Manager Carolina Cristofaro.  

Updates from the project will be shared on this page. Stay tuned!