Outokumpu welcomes EU’s new Arctic strategy: Europe needs strong raw material value chains and resilient northern connections

Outokumpu welcomes EU’s new Arctic strategy: Europe needs strong raw material value chains and resilient northern connections 

Outokumpu welcomes the European Union’s new Arctic strategy and its recognition of the Arctic’s growing importance for Europe’s economic security and resilience. Outokumpu calls for the strategy to be followed by concrete measures that strengthen sustainable raw material production and processing in Europe, alongside the transport connections needed to secure these strategic value chains. 

Published on 20 October, the strategy highlights the Arctic’s strategic role for Europe, particularly in critical raw materials, transport routes, energy and connectivity. It commits the EU to increasing investment in the region’s sustainable minerals potential and highlights the role of Arctic raw materials in supporting European supply chains. 

Outokumpu finds this an important step. At a time of growing geopolitical uncertainty, strengthening the resilience of Europe’s strategic material supply chains requires both strong partnerships with like-minded countries and greater capacity to mine, process and manufacture strategic materials within Europe. 

“Strategic partnerships are an important part of securing Europe’s access to raw materials. At the same time, EU must strengthen its own mineral value chains. The Arctic countries have an important role to play, as they possess significant mineral resources, industrial capabilities and expertise. The new strategy reinforces this direction, but it needs to be translated into concrete measures that enable investments across the raw material value chain,” says Martti Sassi, President of Business Area Ferrochrome.  

Outokumpu’s raw material supply chains demonstrate the Arctic region’s strategic importance. The Kemi mine is the EU’s only chromium mine and is integrated with ferrochrome and stainless-steel production in Tornio. Outokumpu believes chromium should be added back to the EU’s list of critical raw materials under the Critical Raw Materials Act (CRMA), reflecting its strategic importance and supply risks. 

In Greenland, the Malmbjerg project mentioned in the Strategy could become an important new source of molybdenum for Europe. Outokumpu has signed a ten-year offtake agreement with Greenland Resources for future supplies from the project. 

Northern transport connections are part of Europe’s resilience 

Secure supply chains also depend on reliable transport infrastructure. The new EU strategy recognises this connection, stating that ports, rail connections and other infrastructure should be better integrated into Arctic transport networks to strengthen new supply chains.  

The strategy gives particular attention to developing East-West connections, multimodal logistics corridors and Rail Nordica, including accelerating the migration of the northern Finnish rail network towards the European track gauge.  

Outokumpu welcomes this focus. For Northern Finland’s export industries, reliable connections from production sites to ports and international markets are vital. The changed geopolitical environment has further increased the strategic importance of transport connections towards Sweden and the rest of Europe.  

The strategy also highlights the need for greater icebreaker capacity to ensure access to the Arctic. Outokumpu’s advanced materials can contribute to building the resilient icebreaker fleet Europe needs. 

Outokumpu encourages the EU, its Member States and Arctic partners to move rapidly from strategic objectives to implementation. The new Arctic strategy provides a strong basis for doing so. 

For more information: 

Karoliina Rasi, Head of Public Affairs, Europe, tel. +32 476 349 263, karoliina.rasi@outokumpu.com