1. Introduction
The topics explored in this study regarding mobility, energy production and storage, sustainable raw material use, and the circular economy are just a few of the key issues driving the industrial and economic transformation expected to unfold globally in the coming decades.
As highlighted in the IPCC 6th Assessment Report [
1], global warming is undeniably driven by human activities, which have significantly contributed to an average global temperature increase of 1.1 °C compared to the pre-industrial era. These significant data further support what the scientific community has advocated for over fifty years: the urgent need for a profound transformation in our economic and production models, resource exploitation, and overall lifestyle. As a result, national governments are increasingly prioritizing environmental issues by setting regulations and targets, pushing entire industries toward greater sustainability, and promoting the adoption of new “green” solutions. This shift is paving the way for what can be seen as a new industrial revolution.
The transportation sector is a major contributor to greenhouse gas (GHG) emissions, primarily due to conventional vehicles powered by fossil fuels, which release substantial amounts of carbon dioxide (CO
2), along with smaller quantities of methane (CH
4) and nitrous oxide (N
2O), into the atmosphere [
2]. In contrast, electric mobility presents a more sustainable alternative by significantly lowering or eliminating these emissions, thereby playing a vital role in improving air quality and addressing climate change. Since electric vehicles produce zero tailpipe emissions of particulate matter and pollutants, they contribute to cleaner air in densely populated areas. Additionally, electric mobility helps shift pollution away from urban centres to energy production sites. Moreover, the expansion of charging infrastructure supports the transition to cleaner transportation, further encouraging the adoption of sustainable mobility solutions in cities.
Recent technical assessments further clarify the potential environmental gains from electrification, depending on powertrain type and regional energy mix. For instance, a comprehensive analysis by the International Council on Clean Transportation (ICCT) demonstrates that battery electric vehicles (BEVs) significantly reduce life cycle greenhouse gas (GHG) emissions compared to internal combustion engine vehicles (ICEVs). The study covers global markets and powertrain types, showing that BEVs emit approximately 50%–70% fewer GHGs over their lifetime, even when charged from high-emission electricity grids. These advantages are projected to increase as electricity production decarbonizes further. The report also underscores the importance of including upstream emissions, such as those from fuel production and battery manufacturing, in a complete life cycle assessment to accurately capture the environmental performance of vehicle technologies [
3].
Complementing this global perspective, a recent report by the Italian Ministry of the Environment and Energy Security (MASE) focuses on the national electricity mix and its implications for electric mobility. The study highlights a steady decline in the carbon intensity of electricity generation in Italy, currently averaging around 300 g CO
2 per kWh. This improvement significantly enhances the environmental performance of electric vehicles within the country. As a result, the report confirms that EVs used in Italy already provide meaningful reductions in GHG emissions compared to ICEVs, especially considering the full life cycle perspective. The analysis also reinforces the importance of regional energy contexts in evaluating the sustainability of vehicle technologies [
4].
Expanding on this regional insight, a 2024 Fédération Internationale de l’Automobile (FIA) report further emphasizes the need for geographically specific and usage-based life cycle assessments when evaluating electric vehicles. The study shows that factors such as local electricity mix, intensity of vehicle use, and battery origin critically affect the overall carbon footprint of EVs. In particular, the FIA highlights that the environmental advantages of electric mobility become most evident when EVs are powered by low-carbon electricity and are used over long distances. Moreover, the report calls for greater transparency and methodological harmonization in LCA studies to support both policymaking and consumer awareness in the transition to sustainable transportation [
5].
The European Union (EU) has taken a leading role in tackling climate change through strong legislative measures. The European Green Deal [
6] and its associated policies [
7] prioritize electric mobility as a key strategy to decarbonize the transportation sector, driving the transition toward a greener and more sustainable future. Strict emission regulations and incentives for electric vehicles are already in place to support the ambitious goal of reducing GHG emissions from new cars by 55% by 2030 [
8]. Most notably, the commitment to phasing out the sale of internal combustion engine vehicles by 2035 highlights the European Commission’s strong dedication to mitigating climate change and improving air quality.
A major challenge associated with the projected exponential growth in electric vehicle (EV) production in the coming years is the rising demand for batteries, which, in turn, drives the need for Critical Raw Materials (CRMs). The European Commission defines CRMs as “Raw materials of high importance for the EU economy and whose supply is associated with a high risk” [
9].
The sustainable future that the EU envisions through the European Green Deal relies on digitalization, electric mobility, and renewable energy. These sectors will require vast amounts of new electronic equipment, instruments, and components in the coming years. However, this transition to a zero-carbon economy is significantly more resource-intensive, particularly regarding specific materials and minerals. Unfortunately, these resources are not evenly distributed across the Earth’s crust. Europe lacks reserves for most of them, relying entirely on imports of refined materials or finished products from other countries that control their extraction and processing.
However, despite these benefits, electric vehicles also present new environmental and geopolitical challenges related to their reliance on batteries. The production of lithium-ion batteries requires substantial quantities of Critical Raw Materials such as lithium, cobalt, nickel, and graphite, resources that are often extracted under environmentally damaging conditions and with significant social and ethical concerns, especially in regions with weak labour and environmental protections. Furthermore, the global supply chains for these materials are highly concentrated, with a few countries and corporations controlling a significant market share, potentially leading to new forms of resource dependency and strategic vulnerabilities. As demand for electric vehicles grows, addressing these supply chain issues will ensure that the transition to electric mobility is both environmentally responsible and socially equitable. For this reason, it is essential to begin by assessing the environmental sustainability of electric vehicles, particularly through a direct comparison with conventional fossil fuel-powered cars. This analysis is undertaken in this study.
Within this background, the EU will inevitably undergo a radical transformation in its mobility and energy systems in the coming years. The transition from conventional fossil fuel-based to renewable energy systems marks a profound shift in global resource dependencies. While fossil fuel systems rely on continuous oil, coal, and gas extraction, renewable technologies increasingly depend on Critical Raw Materials (CRMs). This change brings new challenges related to resource availability, supply chain resilience, and the environmental and social impacts of CRM extraction and processing. Rare Earth Elements such as copper, nickel, cobalt, and manganese are essential for producing batteries, wind turbines, and other green technologies. However, their extraction and refinement are often highly polluting and energy-intensive, with reserves frequently located in politically unstable regions where environmental protections and human rights are weak or poorly enforced. As a result, CRMs are expected to remain at the heart of policy, industrial, and scientific attention in the years to come, as their responsible sourcing and sustainable management are crucial for ensuring a just and successful energy transition.
A market review by the International Energy Agency (IEA) [
10] highlights a sharp rise in the extraction and trade of Critical Raw Materials. Between 2016 and 2021, CRM consumption driven solely by the clean technology sector grew by an estimated 20%. The upper section of
Figure 1 highlights a steep acceleration in clean energy deployment from 2019 to 2023: annual solar PV installations increased from about 80 GW to nearly 300 GW, while combined onshore and offshore wind capacity increased from roughly 60 GW to 120 GW. Electric vehicle sales grew even more dramatically, increasing from around 3 million units in 2019 to an estimated 13 million in 2023.
As illustrated in the lower section of
Figure 1, this surge has driven a sharp rise in Critical Raw Material demand. Worldwide lithium usage jumped from roughly 40 kt to 130 kt, with its clean energy application share increasing from 30% to 56%. Cobalt demand increased by about 70%, its clean-energy share increasing from 17% to 40%, while nickel demand rose by 40% and the portion used in clean energy technologies expanded from 6% to 16%. These changes highlight how the energy transition is rapidly transforming global mineral markets.
A foresight study on raw materials by the European Commission [
11] examines the projected demand growth for various raw materials in both the EU and globally by 2030 and 2050.
Figure 2 illustrates these projections, with the left side of the charts representing a low-demand scenario (LDS) and the right side depicting a high-demand scenario (HDS). In the EU, for a low-demand scenario, two essential battery production materials, lithium and graphite, are forecast to see demand multiply roughly 10× by 2030 and increase to 15× (lithium) and 18× (graphite) by 2050. Under a HDS, these figures increase to about 14× by 2030 and reach 21× for lithium and 26× for graphite by the mid-century. Globally, the LDS predicts lithium and graphite requirements growing 13× and 14× by 2030 and increasing to 65× and 80× by 2050. In the HDS, these same materials increase roughly 20× by 2030 and increase to approximately 90× for lithium and 110× for graphite by 2050.
The projected increase in EV production is expected to drive nearly the entire increase in demand for lithium, graphite, and cobalt.
To meet this rapidly growing demand, the EU relies heavily on outside countries, particularly China, across various supply chain stages. For instance, the Rare Earth Elements required for permanent magnets in wind turbines are mined, refined, and processed in China [
9]. Similarly, most solar photovoltaic modules and cells are imported from China, which also dominates every stage of the battery supply chain. The control and management of mining operations in outside countries present another significant challenge. For instance, nearly 70% of cobalt mines in the Democratic Republic of Congo are owned by Chinese companies and supply exclusively to Chinese refineries [
12]. This monopolistic control poses a significant risk to the stability and security of the European raw materials supply chain [
10]. As illustrated in
Figure 3 (2019 data), the global distribution of essential minerals for the energy transition is far more geographically concentrated than fossil fuels [
13]. In 2019, nearly 100% of global lithium and Rare Earth Element production was supplied by just three countries, while about 80% of cobalt and roughly 55–60% of nickel and copper output were similarly dominated by the top three producers. This extreme clustering magnifies geopolitical and supply chain risks, from export curbs to political instability, well beyond those typical in oil and gas markets. This highlights the need to develop new and more diversified supply sources to secure a resilient clean-energy rollout. Without strategically expanding mining and processing capacities, Europe’s transition to low-carbon energy risks being bottlenecked by critical material shortages.
Dependencies and vulnerabilities exist at multiple stages of the value chain. The challenges extend beyond just the supply of raw materials; they also encompass these materials’ processing, refining, and manufacturing. In some cases, such as solar photovoltaic panels and digital technologies, dependencies permeate the entire value chain. For other technologies, such as wind power, the EU has maintained global leadership in overall production, but lacks self-sufficiency in the mining and processing of raw materials. Despite being self-sufficient in manufacturing, the EU has also experienced a gradual loss of competitiveness and a decline in production capacity. In the value chain of wind turbine construction, China holds dominant positions in the upstream stages, particularly in Rare Earth Elements extraction, refining, and permanent magnet production. At the same time, the EU remains active mainly in downstream assembly [
14]. This asymmetry creates strategic dependencies and exposes European industries to supply and price volatility. A lack of processing capacity and limited access to raw materials undermine the EU’s industrial resilience. Strengthening domestic capabilities in magnet materials and refining is essential to reduce risks. Strategic investments are needed to secure a competitive and sustainable wind energy sector.
From a geopolitical perspective, the risk of supply disruptions in various value chains and for specific materials and components is significantly heightened. This risk stems from the likelihood of disruptive natural and environmental events, such as epidemics or damage to facilities, as well as geopolitical factors like wars, blockades, or market restrictions. The concern intensifies when these critical value chains are geographically concentrated. Should any adverse event occur in China, the repercussions for the global economy could be substantial and potentially severe.
In light of these multifaceted challenges, ranging from emissions reduction and sustainable mobility to Critical Raw Material dependency and supply chain vulnerabilities, there is a clear and urgent need to assess the true environmental sustainability of electric vehicles.
This study responds to that need by conducting a comprehensive Life Cycle Assessment (LCA) comparing a diesel and an electric version of the Peugeot 308, one of Europe’s best-selling compact cars. Using the OpenLCA software and the Ecoinvent 3.10 database, the analysis follows a cradle-to-grave approach, encompassing the vehicle production, use, and end-of-life phases. Two key sustainability indicators are examined: Global Warming Potential (GWP100) to measure climate impact, and Abiotic Resource Depletion Potential (ADP) to quantify the pressure on mineral resources.
This research aims to quantify the environmental advantages of electric mobility in terms of reduced greenhouse gas emissions and critically investigate the trade-offs associated with increased CRM consumption. The results are intended to inform policymakers, industry stakeholders, and consumers about the actual sustainability of electric vehicles, supporting evidence-based decisions as Europe accelerates its transition to a low-carbon economy. Through this analysis, the study aims to contribute to a more nuanced and balanced understanding of the benefits and limitations of electric mobility in the context of global decarbonization goals and resource security.
1.1. Are EU Green Deal Goals in Jeopardy Due to CRMs’ Supply Risk?
The EU’s policies for a sustainable future are highly ambitious, and yet they rely heavily on resources largely not found within Europe. While it is challenging to predict definitively whether the EU Green Deal will succeed or fail, it is clear that enhancements in supply chains, import policies, production capacity, and end-of-life management of lithium-ion batteries are essential for its success.
The primary goal of the Green Deal extends beyond merely ensuring cleaner air in European cities, although that is a significant benefit. It aims to achieve a more ambitious vision: making Europe the first continent to attain net-zero greenhouse gas (GHG) emissions. Relocating emission sources contributing to European growth, from internal combustion engine vehicles or conventional power plants to Critical Raw Material (CRM) mines and refining operations in other parts of the world, does not resolve the climate change issue. Climate change is a global phenomenon with extensive consequences, necessitating a comprehensive and sustainable approach to effectively tackle it.
Moreover, the raw materials supply chain represents a critical consideration, as the European market is becoming increasingly reliant on imports of raw materials and refined products from external sources, many of which pose varying degrees of supply risks. Depending on only a limited number of foreign countries for the global supply of raw materials means that any disruption in one of these nations could lead to significant disturbances throughout the entire global value chain. This situation could result in fluctuating prices and material availability, causing economic, diplomatic, and social challenges for both public and private entities, much like the disruptions experienced in the European energy market following the onset of the Ukraine war and the subsequent impact on Russian natural gas supplies. This may lead to physical shortages, extended delivery times, rising prices, and heightened geopolitical tensions, which could significantly impact battery and car manufacturers and complicate the widespread adoption of electric vehicles (EVs).
This study will perform a Life Cycle Assessment (LCA) to determine how the electrification of European mobility affects net greenhouse gas (GHG) emissions. It will also identify potential vulnerabilities and areas for enhancement within the current system, particularly in relation to the supply and sustainable management of Critical Raw Materials.
1.2. The Role of Critical Raw Materials in Assessing the Potential for Abiotic Resource Depletion During LCIA
In this study, raw material consumption will be evaluated using an LCA. The key to obtaining reliable and meaningful results is conducting a robust Life Cycle Impact Assessment (LCIA) phase, incorporating the most appropriate and up-to-date impact indicators and calculation methods.
Every LCA database package includes a wide range of impact indicators, enabling users to obtain detailed insights into global warming potential, human ecotoxicity, eutrophication, and ozone layer depletion. However, one of the main challenges when conducting an LCA on electric vehicles is the lack of dedicated impact indicators for Critical Raw Materials (CRMs). Furthermore, existing methodologies account for only a limited subset of Critical Raw Materials, underscoring the disconnect between resource scarcity assessments and criticality evaluation frameworks [
15].
The most commonly used impact category for characterizing raw material use is Abiotic Resource Depletion Potential (ADP), measured in kg Sb eq. However, this category focuses solely on resource and mineral depletion or scarcity. So far, security of supply is not explicitly considered in impact assessment methodologies [
16], but the only focus is on the ecological burdens of extractive activities regarding resource depletion relative to their known reserves. Moreover, the list of raw materials covered by these impact indicators is insufficient, making it difficult to directly calculate the consumption of Critical Raw Materials.
There are also academic debates regarding the appropriate methodology for criticality assessment, particularly in determining the list of Critical Raw Materials. New methods incorporating environmental implications are being proposed [
17], as there is no universally accepted definition of raw material criticality. Some studies assess the criticality of raw materials in the context of national defence or a country’s economy, while others focus on specific technologies, companies, or products [
18]. Others concentrate on the potential causes of value chain disruptions or the scarcity of reserves related to market demand.
Despite the uncertainties and challenges that characterize Critical Raw Materials, particularly in accurately evaluating their impacts, new approaches are beginning to emerge. One such method is the Abiotic Resource Expected Dissipation Potential (AEDP), which offers a way to assess how current resource use affects the future accessibility of abiotic resources [
19]. Another approach that more specifically targets Critical Raw Materials is the Integrated Method to Address Resource Efficiency (ESSENZ). Developed by the Technical University of Berlin, ESSENZ is a criticality assessment method designed to evaluate the socioeconomic availability and the social and environmental dimensions of sustainability. It investigates how material criticality can shape and enhance our understanding of the drivers, complexities, and considerations involved in the responsible sourcing of battery minerals [
20]. Currently, this method is not available in major commercial databases, but it exists as an open-source Excel file that assigns a criticality weight to each CRM.
Recognizing the central role of criticality assessment in driving global technological, social, and economic progress, this research team has recently completed a study to address the existing methodological gaps. A corresponding manuscript is currently being prepared for submission to an international peer-reviewed journal. This study introduces two novel characterization indicators, the Raw Material Extraction/Reserve Index and the Gini Index, specifically developed to improve the evaluation of Critical Raw Materials within the LCA framework. These indicators provide a more nuanced understanding of resource depletion risk and supply vulnerability by quantifying global availability and the geographical concentration of CRM production.
1.3. Potential and Limits of LCA
The tool selected to assess the climate change and raw material criticality impacts of electric vehicles is the LCA methodology. LCA is a holistic approach used to evaluate the sustainability of a product or service. Thanks to its specificity and flexibility, this methodology enables the assessment of the environmental impacts associated with each production process. This comprehensive assessment helps identify the areas with the most significant environmental burdens, guiding efforts to mitigate these impacts and ultimately reduce the overall environmental footprint of human activities.
LCA supports informed decision-making by offering detailed insights into the environmental performance of products and processes. Companies that utilize LCA to develop more sustainable products, optimize processes, and reduce environmental impacts are more likely to attract investors and clients by demonstrating their commitment to sustainability. Similarly, policymakers who rely on LCA to shape regulations and standards that promote sustainability have a greater chance of successfully achieving key objectives, such as reducing greenhouse gas emissions, minimizing resource consumption, and decreasing waste generation.
The main downsides of Life Cycle Assessment stem from data quality issues and the significant effort required to obtain accurate results. Collecting comprehensive and reliable data can be particularly challenging for complex product systems involving multiple suppliers across different geographical locations. Tracing the entire value chain is sometimes difficult due to missing information or the challenges of establishing contact with every supplier. As a result, each LCA study involves methodological choices and limitations, such as defining system boundaries, selecting impact categories, and choosing allocation methods—all of which can significantly increase the variability and uncertainty of the results. Conducting a detailed LCA from scratch, without relying on process databases or statistical values and using only primary, site-specific data, can be highly time-consuming and costly, particularly for small- and medium-sized enterprises (SMEs).
LCA is a powerful tool for assessing the environmental impacts of products, processes, and services. Despite its limitations, LCA’s comprehensive approach supports sustainable decision-making, identifies areas for improvement, and enhances environmental communication. The environmental, social, cultural, and economic advantages of integrating LCA in the decision-making process of both policymakers and companies are so significant that they far outweigh the inevitable approximations in the results. As sustainability gains prominence in global agendas, the adoption of LCA will continue to expand, driving the transition toward more sustainable production and consumption patterns. It enables researchers to develop comprehensive, in-depth, and customized models, providing valuable and reliable insights based on big data about the life cycle of any product or service. Due to its ability to analyze thousands of diverse production processes, LCA is the most suitable approach for effectively assessing environmental impacts across complex systems.
1.4. Objectives of This Study
This study aims to evaluate the overall environmental impacts of the transition to electric mobility, considering both global warming potential and the depletion of Critical Raw Material reserves. Additionally, this study aims to analyze the state of the art in various key areas, including legislative frameworks, technological transformation pathways, and the development of impact assessment methods, to provide a comprehensive outlook on future challenges and expectations.
Beyond determining which type of vehicle is most sustainable, the primary goal of this study is to assess whether we have adequate tools to properly evaluate Critical Raw Materials, which are essential to the environmental, economic, and social sustainability of electric vehicles.
4. Conclusions
The results of this study confirm that electrifying a C-medium segment substantially lowers the life cycle climate footprint, although it also highlights critical issues related to the demand for strategic raw materials. Across the two mileage horizons analyzed, three key messages emerge:
Use-phase emissions per kilometre: At identical energy-consumption rates, vehicle operation alone produces about 38 g CO2-eq/Km for the EV versus 233 g CO2-eq/Km for the diesel.
Cradle-to-grave balance: When production and end-of-life are included, the EV emits 118 g CO2-eq/Km at 200,000 Km and 68 g CO2-eq/Km at 540,000 Km, whereas the diesel remains at 261 g and 243 g/Km, respectively.
Critical materials: Even after the hydrometallurgical-recycling credit (−2.7 t Cu-eq) is applied, the EV still requires far more strategic mineral resources than the diesel vehicle, underscoring the need for LCA metrics that explicitly address Critical Raw Materials (CRMs).
The robustness of these conclusions is reinforced by two sensitivity exercises. Varying battery durability from 556 to 2000 cycles and lowering diesel fuel-efficiency from 5 L/100 km to 10 L/100 km both enlarge the climate and resource advantage of the EV. The analysis of end-of-life recovery shows that hydrometallurgical recycling already delivers a meaningful credit, yet the results remain conservative because they assume a single battery pack and today’s EU electricity mix; replacement packs or deeper grid decarbonisation would widen the gap still further.
Although this study uses state-of-the-art methods, software, and databases (e.g., Ecoinvent 3.10), a major limitation is the absence of indicators that evaluate material criticality. Bundling CRMs with generic minerals understates a key dimension of environmental performance. Like petroleum in the previous century, CRMs risk becoming the “oil of the future”, with economic, geopolitical, and social ramifications beyond environmental depletion. Acknowledging the pivotal role of criticality assessments, our team has completed a parallel study to bridge this methodological gap; a corresponding manuscript is being prepared for submission. The work will introduce two new characterization factors—the Raw Material Extraction/Reserve Index and the Gini Index—which quantify both the global availability and geographic concentration of CRMs, thereby enriching LCA resource-depletion analysis.
Looking ahead, a dedicated method for evaluating the impact of green technologies on global CRM reserves is a high research priority. In addition to the consequential approach used here, future work should test the “circularity indicator” (available in Ecoinvent with cut-off) for cradle-to-cradle assessments and the EN 15804 method, widely adopted in Environmental Product Declarations.
From a climate perspective, the shift to e-mobility remains advantageous: over the full life cycle, an EV’s carbon footprint ranges from one-half to one-third of an equivalent diesel vehicle, depending on total mileage. This gap will widen as renewables grow in the electricity mix, advanced lithium-ion-battery recycling plants supply secondary CRM feedstocks, second-life batteries are deployed for stationary storage, and next-generation cells deliver higher energy density, longer cycle life, and reduced dependence on critical elements such as cobalt.
We can conclude that electric vehicles are not a stand-alone solution to climate change, but they represent a concrete step toward lowering greenhouse gas emissions. Equally essential, however, is a robust metric for raw material criticality; only then can society navigate the coming industrial and energy transition with a full awareness of its resource implications.