Damning EU report lays bare bloc’s ‘dangerous dependence’ on critical mineral imports | Critical minerals
The EU is trying to wean itself off dependence on China and countries in the global south for critical minerals and rare earths needed for everything from smartphones to wind turbines and military jets.
A damning report by the European Court of Auditors (ECA) in Luxembourg has found the bloc’s 2030 targets are “unattainable” due to a lack of progress on domestic production, refining and recycling.
“It is therefore vital that the EU ups its game in this area and reduces its vulnerability,” said Keit Pentus-Rosimannus, the ECA member responsible for supervision.
The report, which examines the EU’s ability to achieve its target of providing 42.5% of its energy from renewable sources in 2030, reveals the gap between rhetoric and reality.
In one of the most damning conclusions, he notes that not only is mining and exploration in the EU “underdeveloped” but that “even if new deposits are found, it could take 20 years for an EU mining project to become operational”.
“This makes it difficult to imagine any concrete contribution by the 2030 deadline,” the report states.
This comes after British prime minister Keir Starmer agreed to step up cooperation with Japan on critical minerals during talks with his counterpart Sanae Takaichi in Tokyo on Saturday.
U.S. Secretary of State Marco Rubio convened a nearly 20-nation summit in Washington on Wednesday to coordinate diversification of mineral resources, including lithium, nickel, cobalt, copper and rare earths needed for solar panels, wind turbines and car batteries.
The summit is seen as a step to repair transatlantic ties broken by a year of conflict with Donald Trump and pave the way for other alliances to help countries reduce risks from China.
The map of suppliers shows dependence on the east, particularly China and Russia, which provide 29% of the nickel used in the automotive and aerospace sectors.
The EU is heavily dependent on China for seven of the 26 minerals studied, importing: 97% of magnesium used in hydrogen production; 71% of gallium used in smartphones and satellite communications; and 31% tungsten, which is used in drilling and mining.
In rare earths, China controls 69% to 74% of six key rare earths, including two minerals (neodymium and praseodymium) needed to make permanent magnets used in everything from car locking systems to refrigerator doors to wind turbines.
Brussels had previously announced that of the 20,000 tonnes of permanent magnets used by EU industry in 2024, 17,000 tonnes would come from China.
ECA found that the lithium required for car batteries comes largely from Chile, while Türkiye provides 99% of the boron used in solar panels.
ECA said, “Many strategic projects will have difficulty securing the supply of critical raw materials by 2030,” and stated that “the EU may be trapped in a vicious circle.”
“Without critical raw materials, there will be no energy transition, no competitiveness and no strategic autonomy. Unfortunately, we are currently dangerously dependent on a handful of countries outside the EU for the supply of these materials,” Pentus-Rosimannus said.
The report comes after EU industry commissioner Stéphane Séjourné said Europe was “doomed to become a mere playground for its rivals” unless it developed an “ambitious, effective and pragmatic industrial policy”.
The ECA concluded that “efforts to diversify imports have not yet yielded tangible results” and noted that partnerships with seven countries with poor governance caused supply to fall rather than increase between 2020 and 2024.
While 10 of the core 26 critical minerals are entirely imported, none of the 17 rare earth metals are mined on the block. Recycling is also lagging behind: Only 16 critical raw materials are recycled on the block.
