The European Union’s biggest economies – Germany, France, and Italy – will lead the bloc’s efforts to build stockpiles of critical minerals to reduce dependence on China, sources familiar with the plans told Reuters on Wednesday.
Germany will be responsible for overseeing the sourcing of the critical minerals, France will take charge of helping secure financing for the EU’s purchases, and Italy will oversee the storage of the key metals and minerals, sources who attended a meeting with EU officials in December told Reuters.
These sources were not in the know if Germany has already approached producers or who they might be, or which banks could be involved in financing purchases.
In early December, the European Commission adopted the so-called RESourceEU Action Plan to accelerate and enhance efforts to secure the EU’s supply of critical raw materials, including rare earth elements, cobalt or lithium.
The initiative provides financing and concrete tools to protect industry from geopolitical and price shocks, promote projects on critical raw materials in Europe and beyond, and partner with like-minded countries to diversify supply chains, the Commission said two months ago.
Work began at the end of last year with Member States on a coordinated EU approach to stockpiling critical raw materials. A pilot scheme is expected to become operational early this year.
The Commission also pledged to set up a European Critical Raw Materials Centre, which, among other things, will act as a “portfolio manager for diversified and resilient supply chains, including through joint purchasing and stockpiling.”
Moreover, the Commission vowed to introduce, in early 2026, restrictions on the export of scraps and waste of permanent magnets to boost Europe’s recycling capacity. Similar actions will be considered for copper scrap if this proves necessary.
The EU is also considering buying direct stakes in critical minerals projects in Australia as a way to secure supply, Maros Sefcovic, European Commissioner for Trade and Economic Security, said in November.
By Charles Kennedy for Oilprice.com
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