McKinsey&CompanyGobalMaterialsPerspective2025Octaber2025
About this reportare required inoneorseverallow-carbontechndogieseprevbusyearsreport.thisyearsPerspecrtiveexplorestheretare frequentygrowingfaste thanin thepreviourmaterials demandacross hreenergy transilionscenaidrAboulErergySolionsbyMcHinsgy:EnergySdlutionsisdefinedinourGlobalEnergyPersgecive.2025;aswellaselements(REEs))hreesplyscenarios,hasedonasser-levddstamodededbocusedontheenergysector.Thegroupenahlesorgarizationssimistopaovddeinsightintothechanghg-Materiab forwhich demand is largely and negatielyaflectedby the energy transifonbecause thesematerialsdecisionsbyusing an inlegratedsuited market modelt,hergytransitionandtheare fundamenta lo conmentinaltecthrobogies,which areA,leading industry benchmaris,ofdigitalinfrastructure.advanced analytical loaks, and aglehalnetworkolindustry(withtherma coalaprimeexamplelies across theentireenergyalue chainmanage riskoptimizeorganizafion, andimprovendudng mdtalsandminingbuadingmatertalseand cement, glass,and morel,plastics,and pulp andhareprtfoasesprimatlyonmetdsandmihing,Abaut McKnsey&Compary:McKinsey isaglcbalmanagementabecategortedslongthefolowingbong-ermTheGlobalMaterialsPerspectiveispowered byMineSpansngfirmcommittedtohelpingarganizafiorsacceleratetofMeKinsey'sGlobalEnergyandMAaterialbsustsinable andincusive growth.Thefirmworks withcilentsractice MineSpansis a leadingand comprehensivecrosstheprivale,putic,andsocialectorstosolvecomplexateriastorwhichdemandsondylossmalectertarketinteigencesclution,combiringproblemsandcreateposithechargesforal theirstskehotersrnvenby thespeedoftheenergytransilionand thatareitcombhesboldstrtegilsandtransforativetechndogiestbcorseauentytendingh iewiththegrowthofglobalelpomgarizationsinnovate moresustainablyachievelastingaDPandthegrowthyniddedas(orcamph,stedertsandcoveringmoethan14,000build warktorcesthatwilthriveforandaluminum)nodityvaluechains,our-Vsterialksforwhichdemandis argely andpositivetaffectedby theerergytransilion because thematerialsdaPerspective2025
Foreword (1/2)inthe pastyesr, themateraksindustyhas onceapainboldinnava tion in technology, processes, and electrificationin severalshifts: increasing resource nationalismandhas accelerated.rolectlonim,therised newdemandvectorsfromAlanddefense,emergingsigns afaproductiverebound,andtheAgainstthis backdrop, capitalmarikets haveremained strangthbldlstharehaiderretures(TSRgrowing3.5imes andahead succes lielyrequirescapturinggrowthwilemaretcapitalizationdoubingshce2015improving productivity and delivering sustsinablesclutionsOverall the materials industrycontractedin 2024., wilmatseandminingrevwwth inothern-Ganpolitsandsghballandtcapewheregobslialibrhile profiabilityemained reslientatabout$1.3thilionischarging but ndt dispesaringhaveled loincreasednorpratection*Thishascreatedith ashiftin profit pools from thermalcosl and steeltowardhadrtiks,suchasinacesitendmarietsandthegold, copper, and aluminum, a shiftthat hasbeenongaingferbalsuncly hegation,asweltsoporurniesincerntivesfornewprojectsin'reseurce-several years.incertives, and exportbariers'whiesupplyconcentration-AceleraledderardlfomileaxparsionafAltechnoboiescontinuedtorisefarseveralcommodilies inbothminingandw...
