With mineral raw materials sectors unable to pass thr ough c osts and the pr ospects of in v estment in the EU ETS ar ea worsening simultaneously with a stagnation or ev en de cr ease in domestic demand the EU raw materials sector c ompeting at international lev els mainly on c osts is le gitimately c onc erned that the decision not to r eimburse indir ect emissions c osts will undermine the international c ompetitiv eness of the industry thr ough the loss of mark et shar e and pr ofit margins to c ompetitors who do not f ac e similar indir ect carbon emissions c osts The indir ect c osts c ompensation r epr esents an essential element non only in c oping with carbon leakage but also in achieving climate goals C ompar ed to c ompeting pr o duction in emerging mark ets such as China the E ur opean Sourc e Na vigant Study assessing the direct and indirect carbon leakage for mineral ra w materials sectors 2019 mining of ferr ous and nonferr ous metals is highly ener gy efficient and has a low carbon footprint The E ur opean mineral raw materials sector also enhanc es the a vailabil ity of the critical materials needed for curr ent and futur e technologies to cr eate a climateneutral cir cular and r e sour c eefficient ec onom y while sour cing raw materials in a sustainable and r esponsible wa y It can be c onsider ed both a gr eening by and a gr eening of activity minimis ing its impacts mak es a significant c ontribution to climate change mitig ation in the EU Table of Contents page 30 of 35 S ustainabi li ty and Competi ti veness Machined carbon and graphite 011 MWht Magnesia 012 MWht Primary Aluminium 143 MWht Zinc electrolysis 4 MWht Chlorine 2461 MWht Basic oxygen steel 0036 MWht Alumina refning 0225 MWht Carbon and graphite feedstock 32 MWht Nonferrous metal ores 11 MWht Electricity intensity