# Critical raw materials

Governments designate critical raw materials (CRM) (also referred to as critical materials or critical minerals) as critical for their economies so there is no single list of such raw materials as the list varies from country to country as does the definition of critical. They include technology-critical elements, rare-earth elements and strategic materials.

## History and background

Analyzing the historical development of country approaches to critical materials, David Peck discusses the interplay between those that emphasize economic growth ("tech will fix it") and those that argue that finite resources will be exhausted ("limits to growth"). These two approaches are a feature of debate around critical materials and both are important, while countries also act in self-interest as well as responding to geopolitical tensions.

## Terminology and country definitions

For advanced industrial economies the commonly used terms "critical minerals" or "critical raw materials" refer to materials required for their strategic industries where there is a risk of interruption to supply. The Minerals Security Partnership (MSP) is a transnational association whose members seek to secure a stable supply of raw materials for their economies. On 5 April 2024, MSP partners launched the Minerals Security Partnership Forum to enhance cooperation in respect of CRM critical to "green and digital transitions".

### Criticality

According to the Intergovernmental Forum on Mining, Minerals, Metals and Sustainable Development (IGF), criticality has no agreed definition, varies with time, and is specific to country and context.

### US

2023 Final Critical Materials List includes critical materials for energy (sometimes known as the "electric 18") together with 50 critical minerals.

### EU

The Critical Raw Materials Act came into effect on 23 May 2024. It specifies a list of 34 CRM, including 17 raw materials considered strategic.

### UK

The Critical Minerals Strategy, Resilience for the Future was published in July 2022, updated in March 2023. As of December 2023, the UK does not produce any of the 18 identified highly critical CRMwhile a watchlist of increasingly critical materials includes Iridium, Manganese, Nickel, Phosphates and Ruthenium.
In November 2024, the UK 2024 Criticality Assessment commissioned by the Department for Business and Trade, was published by the Critical Minerals Intelligence Centre, a unit of the British Geological Survey. The report identified 34 minerals as critical. Aluminium, chromium, germanium, iron and nickel were added to the 2021 list while palladium was removed.
By fostering sustainable planning and design, the United Kingdom could reduce its demand for limited resources while supporting long-term economic resilience. Additionally, the report emphasizes the need for a circular economy. Enhancing the recovery, reuse, and recycling of materials would ensure that these resources re-enter the supply chain, and even look at formal processes such as a safer end of engineering life.
The UK’s National Engineering Policy Centre released a report into critical materials in the United Kingdom in 2024. It studied ways of reducing the UK's demand for critical materials, especially in infrastructure, through changes to planning, design and end-of-life of technologies like electric vehicle batteries, wind turbines, and also digital devices.
The report also warns that without strategic interventions to reduce critical material dependency, the UK risks jeopardising its net zero objectives and facing economic instability due to material shortages. It also suggested that the country could and should produce an integrated materials strategy. This strategy calls for the establishment of a National Materials Data Hub to monitor material usage and assess supply chain risks. The hub could support the UK with a comprehensive policy framework to better manage material consumption and avoid future shortages. Furthermore, the report stressed the importance of incorporating material requirements into the early planning stages of infrastructure projects, particularly in energy, transport, and digital systems. This proactive approach can help prevent potential disruptions caused by material scarcity.
The National Engineering Policy Centre report outlines specific recommendations to reduce the UK’s use and consumption of critical materials. One of its most ambitious targets is halving the UK's material footprint, which would drive resource efficiency and sustainability. It also proposes banning single-use vapes to decrease e-waste and reduce unnecessary material consumption. Moreover, the report suggests achieving a 15% reduction in whole-system energy demand, which would alleviate pressure on the materials required for energy infrastructure. The report argued that to support long term recovery of the materials, the UK must invest in recycling infrastructure capable of efficiently processing products rich in critical materials, such as electronics and batteries.

### China

On November 30, 2023, the Ministry of National Security of China defined critical minerals as "those irreplaceable metal elements and mineral deposits used in advanced industries, such as new materials, new energy, next-generation information technology, artificial intelligence, biotechnology, edge-cutting equipment manufacturing, national defense, and military sectors."

## Geopolitical risk

There is an increased focus on supply chains in general and for critical materials specifically, highlighted by US-China competition. China is the biggest producer of 30 of the US 50 critical minerals as well as being a significant player in downstream processing and manufacture. Following US restrictions on the Chinese semiconductor industry, China, on 3 December 2024, for the first time imposed export restrictions targeted at the United States only rather than all countries, covering antimony, gallium, and germanium.
A 2024 analysis from the World Economic Forum states that potential scarcity of critical materials arising from the Energy transition will be driven by demand factors and suggests ways for governments to address the uncertainties involved.