Brussels is looking to borrow President Trump's playbook to make "rare earths great again" in the West, with proposals to take equity stakes in miners and support new critical material projects. The move aims to break an alarming dependency that has given Beijing massive leverage over Western industry and trade negotiations, particularly through China's dominance of rare earth processing, refining, and permanent magnet production.
Financial Times reports that members of the European Parliament voted last week to propose a new agency called the "Critical Raw Materials Center" that would invest in critical material supply chains to bolster the continent's ability to mine and refine ore domestically. The new measure still requires approval from member states.
The Critical Raw Materials Centre would receive 2 billion euros under the EU's next long-term budget to make critical investments in the mining sector, similar to what the Trump administration has done over the last 1.5 years.
For instance, President Trump's deal with rare earths producer MP Materials had the Pentagon commit $400 million for a 15% stake, alongside a $150 million loan and a 10-year agreement establishing a minimum price of $110 per kilogram for neodymium-praseodymium, used in permanent magnets.
The MP Materials agreement is one of many deals the Trump administration has completed to restore America's domestic supply chains for critical materials and break its alarming addiction to China, which will likely READ MORE AT SOURCE »
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