Restrictions on the export of critical raw materials are on the rise with increasing global demand due to accelerating efforts in green and digital transformation, said a latest report released by the Organization for Economic Co-operation and Development (OECD) on Monday.
Export restrictions on critical raw materials rose more than fivefold from 2009 to the end of 2023, as shown in the "OECD Inventory of Export Restrictions on Industrial Raw Materials 2025" report released on Monday.
The report emphasized that export restrictions on these materials have more than doubled since 2022, reaching nearly three times the rate since 2021.
According to OECD Secretary-General Mathias Cormann, this trend may result in price increases and supply chain disruptions, undermining global growth and impeding efforts to digitalize and clean energy.
The OECD said this shift was caused by rising geopolitical tensions and competition, with the war in Ukraine particularly contributing to raw material and energy price increases.
“In 2023, nearly 94% of new export restrictions were introduced by just seven countries (China, Viet Nam, Burundi, Russia, Democratic Republic of Congo, Zimbabwe, and Lao People’s Democratic Republic) - a concentration that underscores the significant influence of a small number of players on global access to raw materials,� according to the report.
The most frequently restricted material category was waste and scrap materials in 2023, “due to environmental concerns and increasing interest in circular supply chains.�
Meanwhile, restrictions on ores and minerals have been on the rise due to their importance in supply chains.
“Between 2021 and 2023, 14% of global trade in non-waste and scrap industrial raw materials faced at least one export restriction,� the OECD said.
“The impact was especially pronounced for cobalt and rare earth elements, with 67% and 46% of their respective trade affected.�
The OECD identified export restrictions, such as quotas, licensing requirements, and export taxes, as the most widely used trade measures against critical materials, which have become more prevalent since 2019.
By Emir Yildirim
Anadolu Agency