Rafael Moreno, head of a mining firm seeking to provide the European Union with rare earth elements within two years, has declared it critical to dismantle China’s dominance over the supply chain for these vital raw materials. The resources are essential for manufacturing everything from electric vehicles and wind turbines to military aircraft.
Moreno highlighted the delicate geopolitical climate as US President Donald Trump and Chinese President Xi Jinping prepare for their second summit of the year on Thursday. With global markets described as “nervous” regarding the impending talks, Moreno emphasized that it is equally imperative for the two leaders to reach an agreement that would compel Beijing to halt its recurring threats to restrict rare earth exports.
China won’t stop exporting just because Trump and Xi talk. This feels more like political posturing than economics.
It is crucial for EU strategic autonomy. We cannot rely on unstable supply lines for EVs and defense.
Can they actually scale up processing in just two years? The separation technology is notoriously difficult.
Finally, a real alternative to China’s stranglehold on rare earths. The timing with the summit is interesting.