Dec 5, 2025
The European Commission has presented new initiatives it says will strengthen the EU’s economic security and boost competitiveness, according to a report from Recycling Today. However, the Bureau of International Recycling (BIR) says the measures could create adverse market distortions for the recycling industry.
On Dec. 2, the EC and the High Representative presented a Joint Communication on strengthening Economic Security. The Commission states this new approach, which builds on the Economic Security Strategy of 2023, outlines steps to make the EU more resilient to external economic threats while remaining open to international trade and investment.
The ResourceEU action plan referenced in the communication aims to secure the EU’s supply of critical raw materials for sectors such as automotive, industrial motors, defense, aerospace, artificial intelligence chips and data centers. According to the Commission, the plan would protect European industry by setting up a European Critical Raw Materials Center, using the Raw Materials Platform to aggregate demand and jointly purchase strategic raw materials, and developing a coordinated EU approach to stockpiling. It also would promote critical raw materials projects by derisking investments and fast-tracking permitting, which the Commission says can reduce dependencies by up to 50 percent by 2029. Over the next 12 months, 3 billion euros ($3.5 billion) in EU funds will support projects for alternative supplies.
“In a more volatile and unpredictable world, Europe must update its strategic reflexes and prepare for every possible scenario,” said Stephane Sejourne, the European Commission executive vice president for Prosperity and Industrial Strategy. “With the launch of the ResourceEU program, this new doctrine is not just a vision for the future–it is already operational.”
“Economic security is fundamental to Europe’s security,” said Kaja Kallas, high representative for Foreign Affairs and Security Policy and vice president of the European Commission. “Today, we adopt a new strategy to reduce these dependencies by diversifying our supply chains while remaining open to trade with partners.”
To implement the new approach, the Commission will adapt existing tools and develop new ones. Measures will include evaluating its Dual-Use Export Control Regulation in the coming year, considering economic security in trade defense investigations, and using the Foreign Subsidies Regulation to preserve fair competition. New tools will include launching a pilot project to monitor startups in critical technology areas and incentivizing companies to reduce dependencies as part of upcoming acts like the Chips Act 2.0 and Quantum Act.
The Brussels-based BIR says that while the Economic Security Doctrine and ResourceEU Action Plan confirm the central role of recycling, several measures risk undermining the resilience and competitiveness the EU seeks to protect. The organization notes the doctrine signals future adjustments to the EU’s trade toolkit, with a 2026 assessment of whether new instruments are needed to respond to “unfair trade practices and global market distortions.”
The BIR says trade-restrictive approaches need to be grounded in transparent data, proportionality and a clear assessment of global market impacts. “Export-restrictive measures designed without rigorous global impact assessments can distort markets, reduce competition and disrupt international circular-trade flows,” the BIR stated.
“To secure Europe’s industrial future and resilience, the continent needs competitive, well-functioning international markets for recycled materials,” said Alev Somer, BIR trade and environment director. “Measures that hinder open trade, particularly those designed without rigorous global impact assessments, risk being entirely counterproductive.” The BIR says it remains committed to collaborating with the European Commission to ensure the pursuit of economic security strengthens rather than undermines global circularity.