INSTITUTION PROFILE / FUNCTIONAL MATERIALS
European Commission
The EU body that proposes the rules for critical raw materials and chemicals, and ties their implementation together
The European Commission is the executive arm of the European Union. It does not make materials. For functional materials, its job is to propose laws such as the Critical Raw Materials Act, coordinate the implementation of laws once they are adopted, and distribute research funding. The laws themselves are adopted by the European Parliament and the Council, not by the Commission alone. This profile looks at one question only: how much influence the Commission really has over functional materials.
What this article covers
- The European Commission in 30 seconds
- What kind of body it is: the four types of influence
- What it does for functional materials
- How far its influence reaches (powers and geography)
- Organisations connected to the Commission’s work
- Outlook
- Glossary, references and claim-to-source audit
1. The European Commission in 30 seconds
FULL NAMEEuropean CommissionThe executive body of the European Union (EU)
COUNTRY / REGIONEuropean Union (27 Member States)Population about 450.65 million (1 January 2025, Eurostat). Seat: Brussels
TYPE OF BODYEU body that proposes and implements policyThe only EU institution that tables legislative proposals. Laws are adopted by the European Parliament and the Council
CURRENT TEAM27 CommissionersOne per Member State. The current Commission’s term runs until 30 November 2029
STAFFOver 33,000Permanent and contract employees, per the Commission’s organisation page
FUNDING SCALEHorizon Europe: EUR 93.5 billionIndicative amount for the 2021-2027 research and innovation programme, covering all fields
ROLE IN FUNCTIONAL MATERIALSProposing and implementing laws; research fundingCritical Raw Materials Act, REACH and RoHS, Horizon Europe, the advanced materials strategy
WHO IT REACHESThe EU marketRules also apply to non-EU companies that sell products in the EU
The one thing to grasp first
The Commission is the body that proposes laws, not the one that adopts them. The Critical Raw Materials Act (Regulation (EU) 2024/1252) began as a Commission proposal (procedure 2023/0079/COD). The European Parliament set out its first-reading position on 12 December 2023, and the Council adopted the act on 18 March 2024 Sourced. Even so, its influence on functional materials is large, because companies selling in the EU must follow this body of law on material supply and on chemicals in products. The act also gives the Commission powers of its own after adoption, such as updating the lists of critical raw materials and recognising Strategic Projects.
2. What kind of body it is: the four types of influence
Unlike the companies in this series, the institutions that appear in functional-materials coverage do not make materials themselves. What separates them is the route by which they influence the industry, and that gives four types.
3. What it does for functional materials
The Commission’s work touching functional materials falls into four strands Sourced.
| Strand | Basis and timing | Content | Who carries it out |
|---|---|---|---|
| Supply policy for critical raw materials Critical Raw Materials Act | Regulation (EU) 2024/1252. Signed 11 April 2024, published in the Official Journal on 3 May 2024. In force 20 days after publication (23 May 2024 by our calculation) | Lists of 17 strategic raw materials (Annex I) and 34 critical raw materials (Annex II). 2030 benchmarks: EU capacity to cover 10% of annual consumption by extraction, 40% by processing and 25% by recycling, and no more than 65% from a single non-EU country. For permanent magnets, information on recyclability and disclosure of recycled content are required | The Commission (list updates, project recognition, reporting), Member States (permits, national programmes), businesses |
| Recognition of Strategic Projects | First list inside the EU: 25 March 2025. First list outside the EU: 4 June 2025. Second list inside the EU: 9 October 2026 | Recognised extraction, processing and recycling projects get permit deadlines of 27 months for extraction and 15 months for processing and recycling, and support in access to finance. In total, 106 projects have been designated | Recognition by the Commission; permits by the one-stop shop in each Member State |
| Rules on chemicals and hazardous substances REACH and RoHS | REACH: Regulation (EC) No 1907/2006, in force since 2007. RoHS: Directive 2011/65/EU, in force 21 July 2011 | REACH is the framework for registration, evaluation, authorisation and restriction of chemicals; companies are responsible for showing their substances are safe. RoHS restricts ten hazardous substances in electrical and electronic equipment (lead, cadmium, mercury, hexavalent chromium, PBB, PBDE and four phthalates) | Businesses and Member State authorities. RoHS annexes are amended by Commission delegated directives |
| Research funding Horizon Europe and the advanced materials strategy | Horizon Europe: Regulation (EU) 2021/695. Advanced materials strategy: Communication COM(2024) 98, 27 February 2024 | Horizon Europe’s indicative amount for 2021-2027 is EUR 93.5 billion (all fields). For advanced materials: the IAM4EU partnership with EUR 500 million of combined public and private investment until 2030; a “materials commons” data infrastructure (a project of EUR 28 million starting 1 June 2026); and a European Innovation Council advanced-materials challenge (EUR 50 million in 2025; EUR 50 million proposed for 2026) | The Commission (Directorate-General for Research and Innovation) designs the calls; awards go to researchers and companies after review |
A materials engineer’s view: what changes when an element is on the list
The Critical Raw Materials Act lists many elements that functional materials depend on. Examples include rare earths for magnets (Nd, Pr, Tb, Dy, Gd, Sm and Ce), gallium, germanium, hafnium, scandium, bismuth, tungsten, titanium metal and silicon metal. On its critical raw materials page, the Commission says that China supplies 100% of the EU’s heavy rare earths (the page does not give a reference year) Sourced. For a designer of materials, this means a design that relies on such an element will be asked, in the EU market, about security of supply and recycling information. The discussion of reducing or replacing rare earths in our explainers on permanent magnets and rare-earth-free magnets has this regulation as part of its background. That said, the act does not decide that any particular material or product is favoured or disadvantaged.
4. How far its influence reaches (powers and geography)
| Aspect | What the Commission has | What it does not have |
|---|---|---|
| Powers | The power to propose EU legislation. Under an adopted regulation: updating the lists of critical raw materials (delegated acts), recognising Strategic Projects, reporting on progress, and asking the European standardisation organisations to draft standards. It designs research funding calls | The power to adopt laws (the European Parliament and the Council do that). Decisions on individual permits (Member State authorities). Writing the standards themselves (the role of the European standardisation organisations) |
| Geography | The 27 EU Member States. The regulation is marked “Text with EEA relevance”. RoHS, REACH and the permanent-magnet requirements of the Critical Raw Materials Act reach non-EU companies too, if they place products on the EU market. It also recognises Strategic Projects outside the EU and works on strategic partnerships | Sales outside the EU market, or other countries’ resource policy. Permits for mines and plants outside the EU |
| Time horizon | A framework with 2030 as the target year. The regulation requires the Commission to report by 24 November 2026 and, from 24 May 2027, at least every three years | A guarantee that the targets are met. If progress is insufficient, the text says only that the Commission will assess additional measures |
| Scale | Over 33,000 staff and 27 Commissioners. Horizon Europe’s indicative amount for 2021-2027 is EUR 93.5 billion (all fields). RESourceEU says up to EUR 3 billion of EU funds will be mobilised over the next 12 months | No total has been published for EU money spent on functional materials alone. We could not find a total of awards to individual companies either |
How to read the numbers
The 2030 benchmarks of the Critical Raw Materials Act (10% extraction, 40% processing, 25% recycling, no more than 65% from one country) are targets for EU capacity and dependence in strategic raw materials. They are not obligations on individual functional-materials products. The text is also worded so that EU capacity should “approach or reach” the benchmarks, and for extraction it adds the qualifier “to the extent possible in light of the Union’s reserves” Sourced. Whether the projects recognised on the second list (9 October 2026) will actually go into operation depends on permits and financing, and we could not confirm this Not yet confirmed.
5. Organisations connected to the Commission’s work
This section shows only “who does what” as stated in primary sources. We could not confirm, from Commission materials, a direct relationship with any company profiled in this series.
| Organisation | Role (as stated in primary sources) | Link to this series |
|---|---|---|
| European Parliament and Council | The legislators that adopt the Commission’s proposals. For the act, the responsible Parliament committee was Industry, Research and Energy | Adopt the law. They are co-equal legislators, not subordinate to the Commission |
| Member States | Set up one-stop shops for permits; draw up national exploration programmes; report to the Commission by 24 May 2026 and annually after that | Decide on permits for mines and plants |
| European Critical Raw Materials Board | Made up of Member States and the Commission; advises on and coordinates implementation; advises on the design of joint purchasing | A forum for stockpiling and joint-purchasing discussions |
| European standardisation organisations | The Commission asks them to draft European standards supporting the regulation (Article 44(6)) | Separate from ISO, which writes international standards (see our ISO profile) |
| Joint Research Centre (JRC) | Leads a study of advanced materials that could replace critical raw materials such as rare earths in mobility, construction and electronics | Related to our explainer on rare-earth-free magnets |
6. Outlook
| What can be read from the sources | Primary evidence | Type |
|---|---|---|
| By 24 November 2026 the Commission must submit a report with projections of consumption of each critical raw material in 2030, 2040 and 2050 | Regulation (EU) 2024/1252, Article 44(1). We could not confirm whether it has been published or what it contains | Not yet confirmed |
| The delegated act setting calculation rules for the recycled content of permanent magnets was due by 24 May 2026. We could not confirm whether it has been adopted. Disclosure starts on 24 May 2027 or two years after the delegated act enters into force, whichever is later | Regulation (EU) 2024/1252, Article 29(1) and (2) | Not yet confirmed |
| The European Critical Raw Materials Centre started in June 2026 as a unit within the Directorate-General. Its final form and powers will be shaped after a consultation that ran until 29 July 2026 | Commission announcements (the RESourceEU Action Plan and the page on the Centre) | Not yet confirmed |
| On 27 April 2026 the Commission signalled that it would not, for now, bring forward a full revision of REACH. We could not find later developments | The European Parliament’s Legislative Train page (status “blocked”; it records the Commissioner’s statement of that day) | Sourced |
| For materials makers, attention will shift from the lists and targets themselves to how quickly the projects on the second list get permits and financing | Permit deadlines in the act (27 and 15 months), the second list (9 October 2026), and RESourceEU’s “EUR 3 billion over the next 12 months” | Inference |
| While a full REACH revision stays closed, chemicals regulation will be driven mainly by operating the existing framework and by individual restrictions | The European Parliament’s tracking page (a full revision is not going ahead). We did not look into individual restriction proposals | Inference |
7. Glossary
- Ordinary legislative procedure
- The standard EU lawmaking process: the Commission proposes, and the European Parliament and the Council adopt together.
- Strategic raw materials
- The 17 entries in Annex I of the Critical Raw Materials Act, judged important for green, digital, defence and aerospace uses.
- Critical raw materials
- The 34 entries in Annex II: materials above the thresholds for economic importance and supply risk, plus the strategic raw materials.
- Strategic Project
- An extraction, processing or recycling project recognised by the Commission. It gets shorter permit deadlines.
- Delegated act
- A way for the Commission to update annexes and similar details within a law that the Parliament and Council have adopted.
- REACH
- The EU regulation on the registration, evaluation, authorisation and restriction of chemicals.
- RoHS
- The EU directive restricting hazardous substances in electrical and electronic equipment.
- EEA
- The European Economic Area: the 27 EU Member States plus Iceland, Liechtenstein and Norway.
8. References
- EUR-Lex Regulation (EU) 2024/1252 of the European Parliament and of the Council of 11 April 2024 (full text: lists, 2030 benchmarks, permit deadlines, permanent magnets, Article 44 and others). https://eur-lex.europa.eu/eli/reg/2024/1252/oj/eng
- EUR-Lex Procedure data for 2023/0079/COD (COM(2023) 160; Parliament’s position 12 December 2023; Council adoption 18 March 2024; signature and publication). https://eur-lex.europa.eu/legal-content/EN/HIS/?uri=CELEX:32024R1252
- European Commission Critical Raw Materials Act (benchmarks, permit deadlines, stocks and joint purchasing, permanent magnets). https://single-market-economy.ec.europa.eu/sectors/raw-materials/areas-specific-interest/critical-raw-materials/critical-raw-materials-act_en
- European Commission Critical raw materials (the list of critical raw materials; China’s share of the EU’s heavy rare earth supply). https://single-market-economy.ec.europa.eu/sectors/raw-materials/areas-specific-interest/critical-raw-materials_en
- European Commission Selected strategic projects under CRMA (106 projects designated; first lists of 25 March and 4 June 2025; second list of 9 October 2026). https://single-market-economy.ec.europa.eu/sectors/raw-materials/areas-specific-interest/critical-raw-materials/strategic-projects-under-crma/selected-projects_en
- European Commission News: “New measures to secure raw materials and strengthen the EU’s economic security” (RESourceEU, 3 December 2025: EUR 3 billion over the next 12 months; dependencies cut by up to 50% by 2029). https://commission.europa.eu/news-and-media/news/new-measures-secure-raw-materials-and-strengthen-eus-economic-security-2025-12-03_en
- European Commission GROWTH: “Strategic hub for Europe’s Raw Materials: the Critical Raw Materials Centre takes shape” (new unit in June 2026; consultation until 29 July 2026). https://ec.europa.eu/newsroom/growth/items/944443/en
- European Commission REACH (in force since 2007; the principle that companies ensure their substances are safe). https://single-market-economy.ec.europa.eu/sectors/chemicals/reach_en
- EUR-Lex Regulation (EC) No 1907/2006 (number and title of REACH). https://eur-lex.europa.eu/eli/reg/2006/1907/oj/eng
- European Commission RoHS Directive (in force 21 July 2011; ten restricted substances). https://environment.ec.europa.eu/topics/waste-and-recycling/rohs-directive_en
- EUR-Lex Directive 2011/65/EU (number and title of the RoHS Directive). https://eur-lex.europa.eu/eli/dir/2011/65/oj/eng
- European Parliament Legislative Train: “Revision of the REACH Regulation” (status; statement of 27 April 2026). https://www.europarl.europa.eu/legislative-train/theme-a-new-plan-for-europe-s-sustainable-prosperity-and-competitiveness/file-revision-of-the-reach-regulation
- European Commission Horizon Europe (indicative amount of EUR 93.5 billion for 2021-2027). https://research-and-innovation.ec.europa.eu/funding/funding-opportunities/funding-programmes-and-open-calls/horizon-europe_en
- EUR-Lex Regulation (EU) 2021/695 (number of the Horizon Europe Regulation). https://eur-lex.europa.eu/eli/reg/2021/695/oj/eng
- EUR-Lex COM(2024) 98, “Advanced Materials for Industrial Leadership” (27 February 2024). https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX:52024DC0098
- European Commission Implementation of the Actions on Advanced Materials (IAM4EU, materials commons, EIC, the JRC study on substituting critical raw materials, the Technology Council). https://research-and-innovation.ec.europa.eu/research-area/industrial-research-and-innovation/chemicals-and-advanced-materials/advanced-materials-industrial-leadership/implementation-actions-advanced-materials_en
- European Commission Organisation (27 Commissioners; over 33,000 staff). https://commission.europa.eu/about/organisation_en
- European Union Profile of the European Commission (the only institution that tables legislative proposals; term of the current Commission). https://european-union.europa.eu/institutions-law-budget/institutions-and-bodies/institutions-and-bodies-profiles/european-commission_en
- Eurostat Population statistics demo_pjan (EU27, 1 January 2025: 450,646,971). https://ec.europa.eu/eurostat/api/dissemination/statistics/1.0/data/demo_pjan?geo=EU27_2020&sex=T&age=TOTAL&time=2025&format=JSON&lang=en
9. Claim-to-source audit
| Claim in the article | Type | Source |
|---|---|---|
| Official name; EU executive body; the only institution that tables legislative proposals; 27 Commissioners; term to 30 November 2029 | Sourced | Reference 18 https://european-union.europa.eu/institutions-law-budget/institutions-and-bodies/institutions-and-bodies-profiles/european-commission_en Reference 17 https://commission.europa.eu/about/organisation_en |
| Over 33,000 staff (permanent and contract employees) | Sourced | Reference 17 https://commission.europa.eu/about/organisation_en |
| EU27 population of 450,646,971 on 1 January 2025 | Sourced | Reference 19 https://ec.europa.eu/eurostat/api/dissemination/statistics/1.0/data/demo_pjan?geo=EU27_2020&sex=T&age=TOTAL&time=2025&format=JSON&lang=en |
| Procedure for the Critical Raw Materials Act (proposal COM(2023) 160; Parliament’s position 12 December 2023; Council adoption 18 March 2024; signed 11 April 2024; published 3 May 2024) | Sourced | Reference 2 https://eur-lex.europa.eu/legal-content/EN/HIS/?uri=CELEX:32024R1252 Reference 1 https://eur-lex.europa.eu/eli/reg/2024/1252/oj/eng |
| In force 20 days after publication (Article 49); the date of 23 May 2024 | Our calculation | Our calculation. The text says “the twentieth day following” publication (Reference 1) |
| 17 strategic and 34 critical raw materials (Annexes I and II); 2030 benchmarks (10% / 40% / 25% / 65%); the “approach or reach” and “reserves” wording | Sourced | Reference 1 https://eur-lex.europa.eu/eli/reg/2024/1252/oj/eng Reference 3 https://single-market-economy.ec.europa.eu/sectors/raw-materials/areas-specific-interest/critical-raw-materials/critical-raw-materials-act_en |
| Permit deadlines (27 and 15 months); one-stop shops; national exploration programmes | Sourced | Reference 1 https://eur-lex.europa.eu/eli/reg/2024/1252/oj/eng Reference 3 https://single-market-economy.ec.europa.eu/sectors/raw-materials/areas-specific-interest/critical-raw-materials/critical-raw-materials-act_en |
| Permanent-magnet requirements (recyclability information; disclosure of recycled content; Article 29 deadlines) | Sourced | Reference 1 https://eur-lex.europa.eu/eli/reg/2024/1252/oj/eng |
| The Raw Materials Board; the request to European standardisation organisations (Article 44(6)); the report deadlines in Article 44; Member State reporting (Article 45) | Sourced | Reference 1 https://eur-lex.europa.eu/eli/reg/2024/1252/oj/eng Reference 3 https://single-market-economy.ec.europa.eu/sectors/raw-materials/areas-specific-interest/critical-raw-materials/critical-raw-materials-act_en |
| Examples of listed elements; China’s 100% share of the EU’s heavy rare earth supply (no reference year given) | Sourced | Reference 4 https://single-market-economy.ec.europa.eu/sectors/raw-materials/areas-specific-interest/critical-raw-materials_en Reference 1 https://eur-lex.europa.eu/eli/reg/2024/1252/oj/eng |
| 106 Strategic Projects; first lists (25 March and 4 June 2025); second list (9 October 2026) | Sourced | Reference 5 https://single-market-economy.ec.europa.eu/sectors/raw-materials/areas-specific-interest/critical-raw-materials/strategic-projects-under-crma/selected-projects_en |
| RESourceEU (3 December 2025): EUR 3 billion over 12 months; dependencies cut by up to 50% by 2029; a European Critical Raw Materials Centre | Sourced | Reference 6 https://commission.europa.eu/news-and-media/news/new-measures-secure-raw-materials-and-strengthen-eus-economic-security-2025-12-03_en |
| The Critical Raw Materials Centre unit started in June 2026; consultation until 29 July 2026 | Sourced | Reference 7 https://ec.europa.eu/newsroom/growth/items/944443/en |
| REACH number, title, entry into force in 2007, and the principle that companies ensure safety | Sourced | Reference 9 https://eur-lex.europa.eu/eli/reg/2006/1907/oj/eng Reference 8 https://single-market-economy.ec.europa.eu/sectors/chemicals/reach_en |
| RoHS number, entry into force on 21 July 2011, and ten restricted substances | Sourced | Reference 11 https://eur-lex.europa.eu/eli/dir/2011/65/oj/eng Reference 10 https://environment.ec.europa.eu/topics/waste-and-recycling/rohs-directive_en |
| No full REACH revision for now (27 April 2026) and the status of the file | Sourced | Reference 12 https://www.europarl.europa.eu/legislative-train/theme-a-new-plan-for-europe-s-sustainable-prosperity-and-competitiveness/file-revision-of-the-reach-regulation |
| Horizon Europe regulation number and the EUR 93.5 billion indicative amount for 2021-2027 | Sourced | Reference 14 https://eur-lex.europa.eu/eli/reg/2021/695/oj/eng Reference 13 https://research-and-innovation.ec.europa.eu/funding/funding-opportunities/funding-programmes-and-open-calls/horizon-europe_en |
| Advanced materials strategy (COM(2024) 98); IAM4EU EUR 500 million; materials commons EUR 28 million; EIC EUR 50 million; the JRC study on substitution | Sourced | Reference 15 https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX:52024DC0098 Reference 16 https://research-and-innovation.ec.europa.eu/research-area/industrial-research-and-innovation/chemicals-and-advanced-materials/advanced-materials-industrial-leadership/implementation-actions-advanced-materials_en |
| The four-type classification and placing the Commission in two types | Our calculation | Our own classification |
| Direct relationships between Commission materials and companies profiled in this series | Not yet confirmed | Not found in References 1-19. This article does not infer any |
| Whether the delegated act on recycled content of magnets has been adopted; what the report due on 24 November 2026 contains | Not yet confirmed | Reference 1 gives the deadlines, but we could not confirm the status. This article does not infer it |
| Total EU money spent on functional materials alone; total awards to individual companies | Not yet confirmed | Not given in References 3, 13 or 16. This article does not estimate them |
| The two inferences in Section 6 (permits and financing become the focus; chemicals regulation driven by the existing framework) | Inference | Our own interpretation of References 1, 5, 6 and 12 |
Last updated: 10 October 2026 / Troy Technical
The dates and figures in this article come from the Commission, EUR-Lex, the European Parliament and Eurostat. Passages marked “Inference” are our own interpretation of the primary sources.