Trade and domestic effects of export restrictions: Insights from case studies of cobalt, lithium and nickel
Andrea Andrenelli,
Przemyslaw Kowalski,
Clarisse Legendre,
Grégoire Garsous,
Elli Frysalaki and
Nathan Alan-Lee
No 300, OECD Trade Policy Papers from OECD Publishing
Abstract:
This paper assesses the economic impacts of export restrictions on critical raw materials (CRMs) through case studies of recent measures targeting cobalt, lithium, and nickel in the Democratic Republic of the Congo, Argentina, Zimbabwe, and Indonesia. Using data from the OECD Inventory of Export Restrictions on Industrial Raw Materials and mixed quantitative–qualitative analysis, it examines effects on trade flows, production patterns, and downstream processing, alongside environmental, social, and governance (ESG) implications. The impact of such measures on domestic value addition depended on broader domestic investment conditions. It was generally concentrated in the primary processing steps of the value chain or accrued largely to foreign investors and came with important trade-offs in terms of costs for trading partners, environmental goals, and supply security in global markets. The study highlights the importance of international cooperation to promote stable supply in global markets and sustainable development.
Keywords: Critical raw materials; Downstream processing; ESG; Trade policy (search for similar items in EconPapers)
JEL-codes: F13 O13 O19 Q32 Q37 (search for similar items in EconPapers)
Date: 2025-12-18
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Persistent link: https://EconPapers.repec.org/RePEc:oec:traaab:300-en
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