Metals will play a vital role in shaping the future, driving the green transition and supporting various industries such as electric vehicles and wind turbines. According to the latest estimates from the International Energy Agency (IEA), the market size has already doubled over the past five years, reaching USD 320 billion in 2022. This growth is expected to continue, with the market projected to at least double again by 2040 due to the increasing demand from electric vehicles, battery storage, low-emission power generation, and electricity networks.
However, the concentration of critical minerals like lithium, cobalt, and nickel in a few countries and the intense competition for these raw materials pose potential geopolitical risks. These risks include the possibility of cartelization, which could impact the supply and stability of these crucial resources. This means that while metals hold the key to a brighter future, the challenges of geopolitical complexities need to be addressed to ensure a sustainable and secure transition.
Learn more here: https://www.allianz.com/en/economic_research/publications/specials_fmo/critical-raw-materials.html
