Questions and answers on the Critical Raw Materials strategic projects

1. What is a strategic project?

Strategic projects are projects that make a significant contribution to the EU's security of supply of strategic raw materials by helping diversify sourcing away from dominant suppliers, often China.

They can cover different stages of the raw materials value chain, including extraction, processing, and recycling. To qualify, projects must meet the criteria set out in the Critical Raw Materials Act (CRMA), including requirements related to their contribution to security of supply, technical feasibility, sustainability, and cross-border benefits.

Strategic project status gives projects access to a number of benefits, including streamlined permitting, support in accessing financing, and assistance in connecting suppliers and buyers.

 

2. Why does the EU need strategic projects?

Strategic raw materials are inputs in products and technologies that are important for Europe's economy and security, such as batteries, renewable energy technologies, digital technologies, defence equipment, and aerospace.

Today, the EU depends heavily on third countries for many of these materials, principally China, a dependence which has already been used against the EU by limiting their supplies on the market and thus EU companies' ability to source these inputs. The strategic projects strengthen Europe's own capacity and thus make supply chains more resilient to disruptions. The projects therefore contribute to the competitiveness of European industry and to the EU's green, digital, and defence objectives.

 

3. What are the EU's targets for strategic raw materials?

The Critical Raw Materials Act has a target that by 2030, the EU has sufficient capacity to extract at least 10%, process at least 40%, and recycle at least 25% of its annual consumption of strategic raw materials. The Act also aims to ensure that no more than 65% of the EU's annual consumption of any strategic raw material at a relevant stage of processing comes from a single third country. The Strategic Projects selected by the Commission will contribute to achieving these objectives.

 

4. How many strategic projects have been selected?

Following the second call for projects, the Commission has selected 46 strategic projects in the EU from 16 Member States. Together with the 47 strategic projects selected in March 2025, there are now 93 strategic projects in the EU.

In addition, 13 strategic projects in third countries and Overseas Countries and Territories were selected in June 2025. The Commission will announce Strategic Projects in third countries and Overseas Countries and Territories later this year.

 

5. Which raw materials and industries will benefit?

The new projects cover 15 of the 17 strategic raw materials under the Critical Raw Materials Act.

They include projects covering lithium, nickel, cobalt, manganese and graphite, which will contribute to diversifying supplies in the EU battery value chain.

Projects covering magnesium and tungsten will support defence and aerospace value chains, while projects covering rare earth elements will contribute to the permanent magnet value chain. The new list also includes projects covering titanium and silicon metal.

 

6. What other measures does the Commission take to support the industry and enhance supply security?

Following up on our commitment in the ResourceEU Action Plan, and given the urgency, we have established an operational nucleus within the Commission, overlooking the portfolio of Strategic Projects and laying down the preparatory work for the EU CRM Centre. The Commission will engage with the co-legislators to best define the necessary legal mandate for the functions that the Centre will fulfill, including its role in supporting strategic projects, stockpiling, financing, and supply chain analysis.

As announced by President von der Leyen during SOTEU, the European Corporation for Critical Raw Materials will bring public and private investments together, contributing to the operational capacity that the Centre needs to achieve the EU's objectives of supply security, diversification and support to critical industries.

 

7. How will the new strategic projects strengthen the EU's raw materials supply?

The 46 projects cover different parts of the raw materials value chain:

• 8 extraction projects;
• 11 processing projects;
• 19 recycling projects; and
• 8 integrated projects; three that combine extraction and processing, and five that combine processing and recycling, supporting the EU's integrated value chain approach.

By developing capacity across these different stages, the projects will help strengthen European value chains and reduce vulnerabilities linked to excessive reliance on external suppliers.

The projects are expected to require approximately €21.1 billion in capital investment to become operational.

 

8. Does this mean that the EU will become self-sufficient in raw materials?

No. The EU cannot and does not aim to produce all the raw materials it needs domestically.

Imports will continue to be an important part of Europe's supply. The objective is instead to increase European capacity, diversify sources of supply, and reduce excessive dependence on individual suppliers.

Strategic projects therefore complement efforts to diversify international supply chains and develop partnerships with reliable suppliers outside the EU.

 

9. Will these projects receive EU funding?

Strategic project status does not automatically mean that a project receives EU funding.

However, the Commission facilitates access to relevant EU funding instruments and supports interaction between project promoters and financial institutions. They are also often seen as more attractive by investors, thanks to the assessment of sustainability and technical feasibility, faster permitting, and overall funding facilitation.

For the strategic projects selected in 2025, more than €2 billion in financial support has already been mobilised through the Innovation Fund, State aid, and the European Investment Bank.

The 46 new projects are expected to require around €21.1 billion in capital investment, mobilised from a combination of public and private sources.

 

10. Will strategic projects benefit from faster permitting?

Yes. Strategic Projects benefit from a streamlined and predictable permitting framework under the Critical Raw Materials Act.

Thanks to the Act, Member States have established Single Points of Contact, who guide project promoters through the permitting process.

Per the Critical Raw Materials Act, the permit-granting process should not exceed 27 months for extraction projects and 15 months for other projects, subject to the conditions set out in EU and national legislation.

 

11. Can we have faster permitting without lowering environmental standards?

Yes. Strategic projects must comply with applicable EU and national environmental legislation. Faster permitting is intended to make procedures more efficient and predictable, not to lower environmental, social or governance standards.

Environmental, social, and governance considerations are also part of the criteria used to assess projects for strategic project status.

 

12. Are the projects already being built?

Being named as a strategic project does not guarantee that a project will become operational.

Project promoters still need to secure financing, complete the necessary permitting procedures, and comply with all applicable legal and regulatory requirements.

However, the first group of strategic projects is progressing. Of the projects selected in 2025, 25 have completed their environmental impact assessment and 17 have obtained a construction permit. In addition, 22 projects have made significant progress towards securing offtake agreements.

 

13. What happens next?

The Commission and Member States will continue to support the implementation of the strategic projects.

The Commission will facilitate access to financing and support connections between suppliers and potential buyers through the Raw Materials Mechanism, which has already generated more than 30 matches covering 10 raw materials.

Member States will continue to support projects through their Single Points of Contact and streamlined and predictable permitting.

The Commission also plans to launch a new call for strategic project applications towards the end of 2026.

 

For more information

Press release

Factsheet