20/10/2021

Joint written question to the EC on the global price increases and shortage of magnesium

China produces approximately 87 % of the world’s magnesium and is the source of 95 % of the EU’s magnesium imports. Magnesium is included in the Commission’s fourth list of critical raw materials for the EU.

As part of efforts to curb its domestic energy consumption, China has stopped production at 25 of its magnesium plants, with others operating at reduced capacity. The result has been a spike in the price of magnesium, with supply shortages predicted to hit EU industry by early December 2021.

Magnesium is a vital material for the aluminium, automotive and steel industries. Shortages at the production level will have knock‑on effects for entire value chains.

1. What actions will the Commission take to deal with these critical supply shortages? Will it enter into emergency negotiations with its counterparts in China on this issue?

2. How does it intend to ensure a secure and resilient magnesium supply chain for EU industry?

Joint answer given by Mr Breton on behalf of the European Commission here.