EU tags copper and nickel as strategic, but industry wants more

Boliden AB

16/03/2023 16:58

By Eric Onstad
       LONDON, March 16 (Reuters) - The European metals sector
welcomed a move by the EU on Thursday to include copper and
nickel as strategic materials for the first time and ensure
speedier permits and easier access to capital, but said more
could be done to secure supplies.
    The Critical Raw Materials Act (CRMA) unveiled by the
European Union adds the two major industrial metals to a list
that had previously focused on more niche minerals such as
cobalt, lithium and rare earths.
    Copper is used in renewable energy systems and for wiring in
electric vehicles (EVs) while nickel is a major component in
many EV batteries.
    Mining and metals companies, including Sweden's Boliden
 BOL.ST , cheered EU plans in the CRMA to provide streamlined
permits and access to financing for projects pegged as
strategic.
    However, to ensure a supply of materials needed for the
green transition, other industrial metals such as aluminium
should be included while fair competition with China also needs
to be addressed, industry groups and firms said.
    The VDM Association of German Metal Traders and Recyclers
was among those pushing for aluminium and zinc to be included.
    "These areas of the metal industry also need fast approval
procedures and, above all, competitive energy prices," the group
said in a statement.
    The EU already produces about 15% of its needs for copper,
well above the overall 10% target set by the EU for strategic
minerals, but the situation could deteriorate, the CEO of
Aurubis, Europe's biggest refined copper producer, said. 
    "Every mine gets depleted therefore it is time to act now to
ensure that new mining projects, which will take years to
develop, are being approved in time," Roland Harings told
Reuters in an interview.
    Harings also said the EU must ensure fair competition with
China and other countries so the metals recycling industry can
thrive.
    “We have absolutely no problem in being in competition if
there's a level playing field. If everybody has to respect
minimum environmental, labour and other standards."
    Aurubis sees recycling as a huge growth area with new plants
being built and has the intention in the longer term to also
move into recycling of electric vehicle batteries. 

 (Additional reporting by Philip Blenkinsop in Brussels;Editing
by Elaine Hardcastle)
 ((eric.onstad@thomsonreuters.com; +44 20 7542 7093; Twitter https://twitter.com/reutersEricO;
 Reuters Messaging: eric.onstad.thomsonreuters.com@reuters.net))