Technological sovereignty begins with the material

In this context, technological sovereignty does not mean complete self-sufficiency. Rather, the key is to remain capable of taking action even in the face of geopolitical tensions, supply bottlenecks, or technological upheavals. This requires resilient supply chains, alternative sources of supply, in-house technological expertise, industrial capacity, and control over relevant data. In short, it is about the ability to consciously manage dependencies and to have genuine options for action when changes occur.

Four Areas of Action in the Materials Sector

First: Availability of raw materials and materials. Many key technologies require raw materials whose extraction or processing is concentrated in just a few regions. Lithium, cobalt, and nickel are essential for batteries; gallium is used in solar and semiconductor applications; and rare earth elements are used in high-performance magnets. The European Critical Raw Materials Act therefore sets targets for 2030: At least 10 percent of the annual demand for strategic raw materials is to be sourced within the EU, 40 percent processed within the EU, and 25 percent met through recycling. At the same time, no more than 65 percent of the demand for a strategic raw material at a relevant processing stage should originate from a single third country. [1]

Second: industrial capacity for value creation, innovation, and substitution. A raw material alone does not yet enable technological action. Europe also needs expertise and capacity in refining, materials manufacturing, processing, qualification, and industrial scaling. New material concepts can also replace critical raw materials, reduce material quantities, or extend service life. The European Raw Materials Data Platform shows, for example, that advanced materials in electronics, mobility, construction, and energy can help reduce dependence on critical raw materials while simultaneously strengthening competitiveness. [2]

Third: Data sovereignty and digital infrastructure. Materials development, manufacturing, and quality assurance are increasingly data-driven. Those who control materials, process, and quality data can develop materials faster, better predict properties, and optimize processes in a more targeted manner. At the same time, new dependencies on software, platforms, cloud infrastructures, and AI models are emerging. The cluster’s work highlights a key tension: Companies need greater data availability and exchange, but must also protect sensitive material, process, and product data as well as their know-how.

Fourth: reliable framework conditions. Standardization, regulation, energy prices, investment conditions, and technical expertise all influence whether technical solutions are actually implemented. Uniform terminology and standards are a prerequisite for scalable cycles. For the automotive industry, for example, VDA Recommendation 268 develops standardized material cycle diagrams and common terminology. Different definitions of recycling, recycled materials, secondary materials, and reuse can hinder comparability, cooperation, and investment decisions. [3]

Why the Material Cycles Cluster Takes a Central Focus

The scope of technological sovereignty is broad. The New Materials Cluster therefore focuses on an area where security of supply, climate protection, innovation, and regional value creation interact particularly closely: material cycles and circular value creation.
Circularity expands upon the traditional raw materials strategy. While diversification and European funding are intended to tap into additional primary sources, the circular economy makes existing materials usable again. Products, components, production residues, and waste become potential regional sources of raw materials. The value of a material should be preserved for as long as possible—for example, through durable products, repair, reuse, remanufacturing, and high-quality recycling. Secondary raw materials cannot always completely replace primary materials, but they can reduce dependence on imports and ensure a more secure supply.
As a result, the circular economy is evolving from a primarily environmental policy issue into an instrument of industrial policy. The Federal Government’s action program for the National Circular Economy Strategy explicitly links it to competitiveness, security of supply, and resilient value chains. Plans include, among other things, an implementation platform, investment and innovation support, a digitization initiative to close material loops, and measures to increase the recovery of critical raw materials. [4]
This approach is particularly relevant for Bavaria. The Free State has a strong materials-processing industry, high-performing research institutions, specialized recycling companies, and closely networked value chains. At the same time, a significant portion of its raw materials must be imported. The study “Efficiency Pays Off,” updated in 2025, concludes that absolute raw material consumption has not yet been significantly reduced and that there is still room for improvement in material recycling. Higher proportions of secondary raw materials and ambitious resource efficiency measures can reduce the consumption of primary raw materials. [5]
Regional cluster initiatives can translate European and national strategies into concrete industrial collaborations. The future scenarios developed by the cluster indicate a strong foundation built on research, technological expertise, specialized companies, and networking. At the same time, a lack of overall visibility, unclear responsibilities, mixed material streams, and insufficient material purity hinder the establishment of closed-loop systems.
Increasing recycling capacity alone is therefore not enough. Take-back, disassembly, reuse, processing, and recycling must be economically integrated across the entire product life cycle. This includes “Design for Recycling” and “Design from Recycling”—that is, the development of new products from available secondary materials. Research on so-called “dirty” alloys shows how, for example, aluminum can be effectively recycled despite the presence of impurity elements. [6] Through targeted control of the microstructure, the adverse effects of impurity elements on material properties can be reduced. [7] However, this requires that secondary raw materials be reliably characterized in terms of composition, properties, and quality.

Digital Material Data as a Connecting Infrastructure

This is where digitization serves as the connecting link. A material cycle can only be specifically managed if it is known which material is contained in a product, what properties it possesses, how it was processed, and how it may change during use and recycling. If this information is missing, the value of the material often decreases significantly at the end of its useful life.
Digital material data from development and manufacturing can close this information gap. This includes material properties, chemical composition, origin and batch data, process parameters, quality and CO₂ data, recycled content, and traceability information. Made available through appropriate interfaces and standards, this data supports material selection, quality assurance, reuse, and recycling. At the same time, data access, confidentiality, property rights, and data updates must be clearly regulated.
The Digital Product Passport is a key component of this infrastructure. It is intended to make information on products, components, and materials accessible, thereby supporting sustainability, circularity, and compliance with legal requirements. Depending on the product group, it may include information on origin, materials, reparability, environmental performance, reuse, and recycling. The legal basis is the EU Ecodesign Regulation for sustainable products. [8]
However, the product passport does not replace a comprehensive material data ecosystem. More detailed—and in some cases confidential—data is required for material development, digital twins, and manufacturing optimization. Material data rooms, in-house systems, digital twins, and product passports must therefore work together in such a way that relevant information becomes available without companies relinquishing control over their data.

From Political Goals to Local Implementation

Technological sovereignty in the materials sector arises from the interplay of a secure supply, technological expertise, circular value creation systems, digital infrastructures, and viable business models. To this end, the New Materials Cluster brings together material-manufacturing and material-processing companies, research institutions, digitalization experts, and end-users. The goal is to highlight shared challenges and translate cross-industry solutions into concrete projects and collaborations.
The materials.next event on December 2, 2026, in Nuremberg will build on this approach. The focus will be on how material cycles, substitution, digital material data, and resilient supply chains can collectively contribute to technological sovereignty. The goal is not to decouple Europe from global markets, but to create options for action: better understanding materials, using them longer, recovering them in a more targeted manner, and converting them more quickly into new value. Those who master material flows and material data gain not only environmental transparency but also industrial agency.

Further information about the event