The Chinese translation is being made; the original is shown for now.
THE European Union (EU) is considering taking equity stakes in critical-minerals projects as it seeks to reduce dependence on China and follow a more interventionist approach already used by the US and Japan, the Financial Times reported.
Members of the European Parliament last week backed proposals for a Critical Raw Materials Centre that could invest directly in raw-materials companies where needed to protect security of supply, create strategic stockpiles and monitor mineral availability across the bloc.
The proposed centre would receive €2bn under the EU’s next long-term budget and is partly modelled on Japan’s Organization for Metals and Energy Security.
The FT said the move reflected concern that Europe risks falling behind the US in securing minerals needed for defence, batteries and clean technologies.
The Trump administration has taken a more aggressive approach, including a $400m investment for a 15% stake in rare-earth producer MP Materials, alongside a $150m loan.
It also agreed to a 10-year minimum price of $110/kg for neodymium-praseodymium, used in permanent magnets for electric vehicles and robotics.
Mohammed Chahim, the Dutch lawmaker leading the EU proposal, said European projects were especially exposed to volatile global prices and that €2bn alone would not be enough.
Additional funding would be needed from governments, private investors and the European Investment Bank.
Europe has so far focused mainly on speeding up permitting for strategic mining, processing and recycling projects. The proposed agency would mark a shift towards direct state participation, although EU member states must still approve the plan.