Critical Raw Material Export Curbs Weaken Global Supply Chains, OECD Warns

The OECD's latest findings paint a stark picture of a global economy increasingly hampered by protectionist trade policies. The proliferation of export restrictions on critical raw materials, a trend that has accelerated over the last fifteen years, is not merely an inconvenience; it is a fundamental threat to the stability and growth of international supply chains. While the rate of increase has slightly slowed, the sheer volume of these measures and their expansion into new geographical areas, particularly in Africa and Asia, is deeply concerning.

What is particularly alarming is the targeting of minerals vital for the green and digital transitions. Cobalt, manganese, graphite, and rare earths, the building blocks of modern technology and renewable energy solutions, are now caught in a web of nationalistic policies. The OECD's data showing that nearly 70% of global cobalt and manganese exports were affected between 2022 and 2024 underscores the severity of this disruption. This concentration of production in just a few countries, coupled with these restrictive measures, creates a precarious situation where global access to essential resources is increasingly uncertain.

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the world’s countries are dependent on reliable access to critical raw materials for economic growth, innovation and energy security

As the OECD Secretary-General Mathias Cormann rightly points out, reliable access to these critical raw materials is indispensable for economic growth, innovation, and energy security worldwide. Yet, these very restrictions are deepening the vulnerabilities of already concentrated supply chains, leading to reduced export volumes and inflated prices. This situation demands a concerted international effort to promote transparency, diversify markets, and foster sustainable partnerships with producer countries. Without such measures, the global economy risks being choked by a rising tide of protectionism, hindering progress and exacerbating inequalities.

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these restrictions exacerbate the vulnerabilities of already highly concentrated supply chains, by reducing export volumes and driving up prices