EU slips further behind US in race for critical minerals - FT中文网
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EU slips further behind US in race for critical minerals

Washington and Beijing are beating Brussels in competition to secure components used in defence and green technologies
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{"text":[[{"start":9.75,"text":"The EU risks falling further behind the US in the race to secure critical minerals, as the west seeks to counter Chinese dominance in essential components for defence and green technology, European officials and industry have warned. "}],[{"start":24.1,"text":"The US has invested heavily in the past two years to ensure it has access to rare earth metals and other materials used in strategic technologies, especially those for which China dominates global production."}],[{"start":37.1,"text":"Washington has announced about $40bn in provisional funding for mineral projects since 2022, and taken equity stakes in a range of domestic miners. The US government has also lobbied in favour of American companies winning tenders for mines in countries including the Democratic Republic of Congo and Kenya."}],[{"start":56.1,"text":"In the past 18 months, Brussels has chosen dozens of strategic projects to benefit from faster permitting rules. The EU and member states have committed about €6bn to minerals projects this year, but the industry warns it is moving too slowly to kick-start the sector."}],[{"start":73.1,"text":"‘‘I really admire the Americans because they take an idea and they run with it, while we Europeans hesitate, over-administrate, talk and lose time,’’ said Bernd Schäfer, chief executive of EIT RawMaterials, a group representing the EU critical minerals industry."}],[{"start":91.25,"text":"Meanwhile, the US is also seeking to build a coalition of countries that could work together to build supply chains that bypass China via a Forum on Resource Geostrategic Engagement (Forge). "}],[{"start":102.65,"text":"But, given the US administration’s antagonistic approach to the EU under Donald Trump, the move is raising scepticism in Brussels."}],[{"start":111.2,"text":"The EU “cannot be fooled by negotiations” with the US, one official said. “We need to do what the US is doing by buying offtake, moving at speed, and using financial tools” to build out the supply chain of critical minerals, ahead of a new strategy to be outlined this autumn."}],[{"start":127,"text":"“We are looking at how to work more with like-minded partners — Canada and Japan,” the official added, while not ruling out further work with the US. "}],[{"start":136.25,"text":"The US under Trump was “erratic and unpredictable across the whole spectrum. You cannot just expect it’s all going to be OK,” said one former official in reference to the Forge initiative. "}],[{"start":147.5,"text":"The EU’s efforts to secure its supply chain have focused so far on designating strategic projects in mining, processing and recycling, which benefit from faster permitting, though are not guaranteed any public funding."}],[{"start":161.15,"text":"By contrast, the Trump administration has spent heavily on developing its supply chain, including by taking stakes in producers of rare earths in both the US and Europe. The Pentagon made a $400mn equity investment last summer to take a 15 per cent stake in US rare earths producer MP Materials, along with a $150mn loan. "}],[{"start":183.3,"text":"It also signed a 10-year agreement to put in place a minimum price of $110 per kg of neodymium-praseodymium — an alloy of rare earths used to make permanent magnets for technologies such as electric vehicles and robotics — stored or sold by MP Materials. "}],[{"start":200.85000000000002,"text":"There was a risk of the US “becoming a second China for Europe” in terms of dependence on rare earth metals, Schäfer said."}],[{"start":208.3,"text":"“Whether you agree or disagree with the way in which the Trump administration is going about securing their critical raw materials supply chains, in 18 months, they’ve certainly done more deals than Europe has done in the past decade,” said one lawyer advising European rare earth projects."}],[{"start":224.3,"text":"Schäfer and the former official also raised concerns about US investments in European critical minerals companies. USA Rare Earth, in which the US government holds a 10 per cent stake, recently acquired British rare earths company Less Common Metals and took a 13 per cent stake in French company Carester last month. "}],[{"start":243.70000000000002,"text":"The European Court of Auditors in February warned that although Brussels had chosen 75 strategic projects to benefit from streamlined permitting rules and access to investment, it was “unlikely” that many of them would deliver in time to help the bloc meet its 2030 targets for developing domestic supplies."}],[{"start":262.70000000000005,"text":"A mining executive close to one of the projects said the EU’s minerals efforts had been “overall quite disappointing in terms of financial support” and that acquiring permits remained complex. Being a strategic project was “good marketing” but “it’s not a game-changer”, they said."}],[{"start":284.55,"text":""}]],"url":"https://audio.ftcn.net.cn/album/a_1787381988_8872.mp3"}

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