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The European Commission has issued a call for evidence on DiversifyEU, a new initiative aimed at accelerating the diversification of supply chains for critical products and reducing the EU’s dependence on dominant supplier countries. A diversification package is provisionally planned for the fourth quarter of 2026, with its scope and measures still under consideration.

The initiative addresses vulnerabilities affecting critical raw and processed materials, clean technology components and critical technologies. The Commission argues that concentrated dependencies expose European businesses to supply disruptions, geopolitical pressure and market volatility, with consequences for both competitiveness and economic security. While trade agreements and existing EU legislation have expanded opportunities for alternative sourcing, it considers that diversification is progressing too slowly.

The package could include a new trade diversification instrument, potentially involving tariffs, alongside adaptations to existing Single Market measures. Other options include support for expanding production capacity within the EU and trusted partner countries, and demand aggregation to strengthen the commercial case for alternative supplies. The Commission will also examine whether existing data collection instruments adequately support the monitoring of critical supply chain risks.

The Commission acknowledges that businesses may face short-term adjustment costs and is seeking views on financial and non-financial support to help manage the transition. Stakeholders are invited to identify priority sectors and dependencies, recommend incentives and highlight regulatory changes needed to facilitate diversification.

Citing the urgency of action, the Commission does not envisage a full impact assessment. Subject to a derogation, it intends instead to prepare a staff working document setting out the supporting evidence and estimated impacts.