Europe’s lithium quest hampered by China and lack of cash
Europe’s passion for becoming a world player in unstable transportation depends on supplying lithiums abroad, especially in South America.
Even wider energy safety and climatic targets of the block may be due to stable provision of the key mineral used in batteries and other clean energy supply chains.
However, analysts told AFP, said that Europe has faced three three obstacles: lack of money, double -edged arrangements and competition from China.
China has a great start.
According to 2024 data from the US Geological Survey, it produces more than three of the worldwide batteries, which are currently sold worldwide, improves 70 percent of raw lithiums, and the third largest extractor behind Australia and Chile.
In order to gain a basis, Europe has developed a regulatory framework that emphasizes environmental protection, creating quality employment and cooperation with local communities.
He also signed bilateral agreements with about 15 countries, including Chile and Argentina, the world’s fifth largest lithium producer.
However, experts say that it cannot be delivered most of the time when it comes to investment.
“I see a lot of memorandum, but there’s a lack of action, but there’s a lack of action,” AFP said.
“More than once, the day we signed another agreement, the Chinese were buying a mine in the same country.”
According to the data compiled by T&E, the investment gap was very large: China spent 6 billion dollars on lithium projects abroad from 2020 to 2023, coughing almost one billion dollars in the same period.
– Delayed Investment –
At the same time, the bottleneck in the supply was bored: According to a recent report from the International Energy Agency (IEA), the global lithium demand was increased by 30 percent last year.
“To secure the supply of raw materials, China is actively investing abroad through government companies with political support,” IEA said.
According to the report, China’s belt and road attempt was $ 21.4 billion in mining beyond the coast of 2024.
Chile, Sebastian Galarza, the founder of the Sustainable Mobility Center in Santiago, said in the meantime, Europe, “these areas are left behind at the investment levels,” he said.
“The lack of an open path to improve the battery and mining industries of Europe means that GAP will be filled by other actors.”
For example, the Chinese demand in Africa pushed Zimbabve to be the fourth largest lithium producer in the world.
