The EU has announced support for 46 strategic projects to boost production of critical raw materials by 2030, aiming to reduce reliance on China and prevent potential trade conflicts.
The European Union is accelerating efforts to develop critical raw materials projects, including lithium and rare earths facilities, to reduce dependency on China and avoid trade tensions. Industry commissioner Stéphane Séjourné stated that the bloc is preparing for potential trade conflicts, emphasizing the need to build a self-sufficient supply chain for materials essential to industries such as automotive, defense, and renewable energy.
The 46 projects, backed by €21bn in funding, include initiatives such as a rare earths plant in France, a gallium plant in Greece, and a lithium processing facility in Finland. These projects are part of the EU’s broader strategy under the Critical Raw Materials Act of 2024, which legally requires the bloc to reduce reliance on foreign sources of key materials.
Why it matters
The EU’s push for self-sufficiency in critical materials directly impacts its economic and geopolitical relationship with China.
This section reflects Dumpling editorial interpretation and is provided for context only.
What to watch
The success of the Carester plant in France and its contribution to global rare earths production will be a key indicator of progress.
This section reflects Dumpling editorial interpretation and is provided for context only.