In the global race for critical minerals necessary for new technologies such as microchips, solar panels, and electric cars, world powers are employing various strategies to secure access to these resources. For example, US President Donald Trump has invoked wartime powers to boost American production and has contemplated using economic, military, and diplomatic force to gain access to mineral wealth in countries like Canada, Greenland, and Ukraine. China, with its near-monopoly on mineral refining, is leveraging this advantage to gain an edge over geopolitical rivals. In this competitive landscape, where does the European Union stand?
The European Union is facing increasing demand for critical minerals, with projections indicating a significant rise in need over the next few decades. The EU is heavily reliant on single third countries for certain materials, such as China for heavy rare earth elements, Turkey for boron, and South Africa for platinum. This dependence leaves the EU vulnerable to disruptions in the supply chain, especially as China has already restricted exports of some minerals critical to several key sectors.
To address these vulnerabilities, the EU has implemented the Critical Raw Materials Act (CRMA), aimed at reducing reliance on external sources by exploiting more minerals within Europe and forming partnerships with resource-rich countries. The Act identifies 34 critical materials, prioritizing 17 as strategic, including lithium, graphite, nickel, cobalt, copper, and rare earth elements. The EU has set ambitious targets for extracting, processing, and recycling these strategic raw materials to secure its supply chain.
One key aspect of the EU’s strategy is to focus on recycling above-the-ground raw materials to reduce the reliance on extraction. However, challenges remain in terms of technology limitations, recycling rates, costs, and collection inefficiencies. The EU is working to address these barriers by providing financial support, streamlining permitting processes, and promoting domestic extraction, refining, and recycling projects across member states.
Despite efforts to enhance the EU’s access to critical minerals, local socio-environmental concerns are emerging as potential obstacles to mining projects within Europe. Plans to mine for lithium in Portugal and Serbia have faced strong resistance from communities and environmental groups, citing environmental damage and disruptions to local livelihoods. This resistance highlights the delicate balance between resource extraction and sustainable development within the EU.
As global dynamics shift, with world powers like the US taking aggressive approaches to secure mineral resources, the EU faces challenges in competing in the race for critical minerals. Moral dilemmas arise as the EU navigates partnerships with conflict-affected regions, where minerals may be sourced under conditions that fuel human rights abuses. The EU’s engagement with countries like Ukraine and Rwanda reflects the complexities of balancing resource needs with ethical considerations in the pursuit of critical raw materials.
