The demand of critical raw materials (CRMs) is expected to increase for the green and digital transitions to materialize. This also applies to the European Union (EU), which leads the carbon neutrality and transition to a circular economy. Since the implementation of the Raw Material Initiative in 2008, the EU has compiled lists of CRMs every three years. The EU outlined the CRM Action Plan in September 2020 and the CRM initiative in March 2023, after the 2019announcement of the European Green Deal. The CRM initiative accompanied legislative measures that aimed to reinforcethe CRM value chain, monitor supply and future risks, improve circularity and sustainability, and diversify CRM imports. Therefore, the EU has made proactive efforts to ensure a sustainable supply of CRMs that is in line with the core objectivesof its industrial strategies for green and digital transitions. Considering its high dependence on resources and CRM imports,Korea must consistently implement appropriate policies and ensure a stable supply of sources through legislative measures. The transition to carbon neutrality and a circular economy is not a choice but a necessity, and having a consistent supplyof CRMs is essential for gaining an advantage in emerging markets.