all projects

Supply chains:
no climate neutrality
without raw materials

Client

Climate Neutrality Foundation

Year

2023

Partner

Oeko-Institut, Wuppertal Institute


Crises such as the Covid-19 pandemic or Russia's war of aggression against Ukraine place global supply chains under threat. But if Germany is to achieve its 2045 climate-neutrality goals, it will have to secure the supply of raw materials, components, and strategic goods.

Economic challenges, however, are not the only issue, there is also the question of national security, sovereignty, and the achievement of climate goals. Our study examines the key priorities, fields of action and policy measures required to secure the climate neutrality transformation through resilient supply chains. The project, conducted by Prognos in joint collaboration with the Oeko-Institut and the Wuppertal Institute, was commissioned by the Climate Neutrality Foundation.

Diversification and deglobalisation in the procurement of critical raw materials

Some key industries – including photovoltaics, wind power, and battery production for electric cars – play a strategic role in the path to climate neutrality. The supply of critical raw materials and components for such industries must therefore be secured.

But supply chains are only as resilient as their weakest link. The following measures should be taken to safeguard these supply chains:

  • targeted investments in domestic transformation industries
  • locating particularly critical parts of the supply chains in Germany or Europe
  • international diversification of the procurement of critical raw materials, components, and strategic goods, i.e., establishing new trade relations
  • timely investments in the development of raw material recycling
  • reducing raw material intensities and developing alternative technological options

Key strategies to increase supply chain resilience include but are not limited to:

  • comprehensive, institutionalised resilience monitoring
  • enabling purchasing groups for strategic raw materials and goods as well as the bundling of supply contracts
  • expanding transformation partnerships at eye level

Securing climate goals through resilient supply chains

The study shows where the current or foreseeable future dependencies on foreign countries in the supply of raw materials, components and strategic goods are, and how critical a role they play in the achievement of climate neutrality. To this end, we have identified the technologies, intermediates, and raw materials that are key to the climate neutrality transformation. In the next step, we analysed the central supply chains and their respective weak points. Based on this we developed a set of solutions and recommendations for initial policy decisions for each of the key technologies.

This study is based on the Climate Neutral Germany 2045 baseline study (Prognos, Oeko-Institut, Wuppertal Institute, 2021).

Links and downloads

To the study (PDF in German)

Summary (PDF in German)

Project team: Elias Althoff, Tim Bichlmeier, Lucas Bierhaus, Nico Dietzsch, Hans Dambeck, Dr. Andreas Kemmler, Leonard Krampe, Sebastian Lübbers, Malek Sahnoun, Lennart Schulz, Minh Phuong Vu, Paul Wendring, Aurel Wünsch, Marco Wünsch, Inka Ziegenhagen

Latest update: 05.09.2023

Do you have questions?

Your contact at Prognos

Marco Wünsch

Principal

View profile

Inka Ziegenhagen

Senior Project Manager

View profile

Mehr Studien & Projekte zu diesem Thema

More studies & projects on this topic

Mid-term evaluation of the Single Market Programme (SMP)

2025
| Project

The Single Market Programme promotes the EU internal market in order to strengthen it, standardise it and make it more competitive. Prognos was involved in the mid-term evaluation of the programme.

Design and implementation of the Resilience Expo

ongoing
| Project

Prognos is supporting the North Rhine-Westphalian Ministry of the Environment in organising, implementing and establishing the world's first trade exhibition for the climate adaptation industry.

Mid-term evaluation of the public sector loan facility

2025
| Project

The Public Sector Loan Facility is an EU financial instrument to ensure a socially just transition to climate neutrality in the regions. Prognos and t33 srl evaluated the instrument.

German industry’s resilience and sovereignty

2025
| Project

German industry is heavily dependent on raw materials and intermediate products from abroad, especially from China. Prognos analysed supply chains and developed recommendations for action.

Evaluation of the ‘Innovative University’ funding initiative

ongoing
| Project

How can innovations be implemented in practice? This is where the BMBF's ‘Innovative University’ funding initiative comes in. Prognos and Fraunhofer ISI are evaluating the programme.

Evaluation of the Federal Funding for Efficient Buildings (BEG)

ongoing
| Project

On behalf of the BMWK, we evaluate the impact of the BEG in the funding period 2021 – 2025 together with ifeu, ITG, and FIW.

Technologies to combat the shortage of skilled workers

2025
| Expertise

Specialists waste a lot of time on tiresome routine tasks. 3D planning tools or digital twins can help. Our analysis for the Fraunhofer IGD shows which professional groups benefit directly from their digital technologies.

How far are the regions on the road to a circular economy?

2025
| Project update

Prognos has developed a tool for the Circular Cities and Regions Initiative (CCRI) that supports cities and regions in monitoring their circular economy activities.

How dependent are we really on the US and China?

2025
| Expertise

Foreign trade, employment, investment and raw materials: ahead of the new US administration taking office, we analysed for the Süddeutsche Zeitung how dependent our economy is on the US and China.

Economic potential of the green tech sector in Bavaria

2024
| Project

How powerful is the green tech industry in Bavaria? What is its economic significance? We examined these questions on behalf of the vbw using our envigos model.

About us

Prognos – Providing Orientation.

Prognos is one of the oldest economic research centres in Europe. Founded at the University of Basel, Prognos experts have been conducting research for a wide range of clients from the public and private sectors since 1959 – politically independent, scientifically sound.

Learn more