T able o f C on ten ts 1 Ex ecutive Summary 7 1 1 K ey Findings 8 12 Introducing the Metals Ecosystem 10 12 1 An integrated network of operations 10 122 Metals The foundation of lowcarbon value chains 12 13 A pricetak er industry operating in a truly global mark etplace 13 14 A frontrunner industry towards a 2050 ClimateNeutral Europe 14 15 R egulatory challenges for a bellwether industry 17 2 Introduction 18 2 1 Introduction to project conte xt and goal 18 22 Scope 18 23 Methodology 18 3 The Metals Ecosystem 20 3 1 Introduction to nonferrous metals 20 3 1 1 The nonferrous metals ecosystem 20 3 12 Production of nonferrous base metals in the EU 21 3 13 Mining metal ores and raw materials in the EU 22 32 EU Metals Production in a Global Conte xt 23 32 1 EU production versus other large metals producers 23 322 The EU s import reliance and metals trade balance 24 33 Nonferrous metals of strategic importance for essential EU value chains 27 33 1 Main downstream applications sectors of nonferrous metals 27 332 Nonferrous metals are essential in all value chains for climate neutrality 29 34 Nonferrous metals in the EU a frontrunner in the circular economy 32 34 1 The EU has high metals recovery and recycling rates for metals 32 342 P otential for higher levels of metals circularity in the EU 33 343 The impact of a growing metals inuse stock on secondary production 34 344 Conclusions 35 4 Price tak ers in a global mark et 37 5 NonFerrous metals production processes energy use and greenhouse gas emissions 40 5 1 Nonferrous metals production electrointensive production processes 40 52 Aluminium 41 53 Copper 43 54 Zinc 45 55 Nick el 47 56 Silicon FerroSilicon and FerroManganese 48 6 GHG Mitigation T echnologies towards climate neutrality in nonferrous metals production 5 1 6 1 Introduction 51 62 Decarbonisation of the EU power sector 51 63 Energy efciency 52 64 New processes in primary aluminium production incl copper electrolysis 53 65 Further electrifcation of processes 55 66 Hydrogen as smelting reducing agent 55 6 7 Biobased fuels and other fuel switching 56 68 Carbon Capture and Utilisation or S torage CCUS 56 69 Enhanced metals recovery from secondary raw materials mining residues slag sludges and scrap recovery 57 6 10 Sector coupling demand response and waste heat usage outside of nonferrous metals produc tion 60 6 11 Other technology breakthroughs enabled by NFM 62 6 12 Conclusions 6 3 7 Nonferrous metals a bellwether industry c h a l l e n g e s f o r n o n f e r r o u s m e t a l s production o n the pathway to EU climate neutrality 67 7 1 Introduction the pitfalls of a frontrunner industry 67 7 2 Electrointensive processes local power pricing versus global metal mark ets 67 7 3 T rade related issues 71 7 4 Other regulatory challenges 72 8 Industrial policy for nonferrous metals towards a climate neutral economy the canary that survives the coalmine 74 8 1 Introduction summary of contributions and challenges 74 MET ALS IN A CLIMA TE NEUTRAL EUROPE A 2050 BL UEPRINT 3