The EU’s current approach to reducing risks in critical raw material supply chains is not producing results fast enough. China retains a dominant position in the production of most materials that the European Commission and key industries designate as critical. Vital sectors such as defence, healthcare, green technology, and digital industries rely – often indirectly – on access to a broad range of mineral resources.
In December 2024, EUISS convened 33 key EU stakeholders to design supplementary policies ensuring a stable supply of three key materials – gallium, germanium, and rare earths – as well as their associated components by 2030. Workshop participants include representatives from the European Commission, EU Member States, think tanks, research technology organisations, and industry, among whom material producers and consumers, including the semiconductor industry (list of participants available in Annex B of the workshop outcomes).
Workshop discussions concluded that an integrated strategy combining ‘promote,’ ‘protect,’ and ‘partner’ measures could establish a vertically-integrated, China-independent supply chain by 2030. Targeting the entire supply chain is essential. Furthermore, participants concluded that introducing promote policies before protect policies is the best approach. Participants view financial backing, including for mining and processing operations, as the most effective policy. Investing heavily in research, technological advancement, and workforce development is a 'no regret' measure. Two ‘few regrets’ measures – stockpiling and expediting permitting procedures – are viewed as highly effective with minimal downsides. Government investment, financial support for overseas operations, and joint security standards within the G7 and with partners are ‘limited regret’ options that could help bolster supply security by 2030. A ‘buy European’ policy and the imposition of tariffs in coordination with G7 and partner nations are seen as ‘moderate reward, high cost’ measures. Participants do not regard ESG requirements as an effective means of strengthening material supply security.
The workshop was organised by Joris Teer, Research Analyst for Economic Security and Technology at EUISS, John Seaman, Research Fellow at the French Institute of International Relations (IFRI), and Alessia Caruso, Trainee – Asia/China Program at EUISS. Steven Everts, EUISS Director, opened the event.
