The EU must move quickly to back the critical minerals sector and allow more state intervention after China banned key exports of raw materials, a group pushing for energy security has said.
The next EU budget must include “substantial, dedicated” funding for critical minerals, with money drawn from energy and decarbonisation budget lines, the European Initiative for Energy Security said on Wednesday, following Beijing’s announcement of an export ban earlier this month.
EU policymakers are racing to develop stockpiling strategies as a resource war escalates between Beijing and the west. China dominates many critical mineral supply chains, including rare earths and the battery metal lithium, and its export controls on key metals include rare earth elements and germanium, which is needed in the defence industry.