Global consumption of material resources has risen exponentially in recent decades, contributing to the triple planetary crisis of climate change, pollution and biodiversity loss. This pace of raw material extraction, processing and waste puts pressure on the resource bases of our economies and has environmental consequences that impact human well-being and nature. The OECD's work on critical raw materials, material use and productivity aims to inform policymaking and help countries to reduce demand and extraction and move to more sustainable growth models.
Resource efficiency and circular economy
Resource efficiency and productivity ensure that materials are used efficiently at all stages of their lifecycle (extraction, transport, manufacturing, consumption, recovery and disposal) and throughout the supply chain. Moving towards a resource-efficient and circular economy is critical from both supply security and environmental perspectives and provides the basis for a sustainable and competitive economy.
Key messages
Global plastics production has grown relentlessly and with it, rising public awareness and concern over plastic pollution has paved the way for stronger policy intervention. The OECD provides guidance to policymakers on all aspects of the plastics lifecycle. This includes analysing plastic flows, informing policy dialogues on instruments to curb plastic pollution, monitoring trends in international development assistance, and quantifying the evolution of the plastic waste trade. The OECD also analyses the links between plastics and other environmental issues, such as climate change and chemical safety.
Circular economy policies and resource efficiency are central to efforts to achieve the Paris Agreement on climate change and the Sustainable Development Goals, especially those related to climate, biodiversity, water, energy and responsible consumption and production. The OECD provides technical support to help countries develop national circular economy strategies, roadmaps and action plans. This includes recommendations for circular economy frameworks, including the rationale for transitioning to a circular economy and an in-depth analysis of priority areas. The OECD also suggests concrete measures that countries can implement to operationalise its recommendations.
Governments use economic instruments such as taxes, emissions trading schemes and subsidies to incentivise behavioural change. Such instruments (among other complementary approaches) help governments to change the relative price of goods and services available to households and companies. These price signals aim to incentivise changes to behaviour.
Extended Producer Responsibility (EPR) is an approach to economic instruments that is increasingly relevant as countries grapple with greater volumes and complexity of waste. EPR seeks to shift the responsibility for products from municipalities and consumers to producers. The OECD provides analysis on the use of EPR and guides governments on its policy development, implementation and evaluation.
Context
Materials use is projected to increase alongside continued economic growth
Globally, the use of materials has significantly increased over the past century. Continued economic growth, industrialisation and a rising global population are expected to drive future increases in materials use. Between 2020 and 2050, global GDP is projected to increase by 125%, from USD 126 trillion to USD 283 trillion, with relatively fast growth in large parts of Asia, Latin America and Africa. Over the same period, materials use is projected to increase by roughly half (from 96 to 145 Gigatonnes) if no further policy action is taken.
Growth in materials use is projected for all regions
Despite a projected relative decoupling between economic activity and materials use over the coming decades, continued economic and population growth are expected to lead to an increase in the total volume of materials used across regions.
Under current policies, global materials use is set to increase by roughly half by 2050 (from 96 Gt in 2020 to 145 Gt in 2050). Non-metallic minerals are expected to remain the largest material group across regions.
Global environmental impacts differ significantly across materials
The projected increase in materials use implies a significant increase in a wide range of environmental impacts, including acidification, climate change, eutrophication, land use, as well as water, human and terrestrial ecotoxicity. Most global environmental impacts are projected to at least double by 2060, relative to 2015.
Materials use also has significant consequences for climate change as most greenhouse gas emissions stem from materials-management sectors. The waste streams generated by current production and consumption patterns are also projected to increase.
