EU shortlists tungsten, rare earths for first stockpile to curb reliance on China
By Julia Payne and Pratima Desai
EU's Strategic Move to Secure Critical Minerals
BRUSSELS, May 20 (Reuters) - The European Union has shortlisted tungsten, rare earths and gallium for its first joint stockpile of critical minerals aimed at reducing its reliance on China, three sources familiar with the matter told Reuters.
Storage Plans and Port Partnerships
The EU is also holding talks with major ports including Rotterdam in the Netherlands, the region's biggest, to store the minerals.
Port of Rotterdam's Role
"We are discussing with both the Dutch Ministry and the EU the role of the port of Rotterdam regarding this," a spokesperson for the port confirmed.
"The port of Rotterdam is well positioned to fulfill this role and as port authority we consider it being our role to contribute to realizing the Dutch and EU goals regarding CRM (critical raw materials)."
Reducing Dependency on China
The move marks one of the bloc's most concrete steps to insulate its economy from Beijing's production dominance in critical minerals--vital to defence, semiconductors and the energy transition--and often used as leverage in trade disputes with the West.
Western allies, including the United States, are racing to build their own stockpiles after Beijing's export curbs sent shocks through the global economy.
Minerals on the Priority List
Two of the sources said magnesium would be on the priority list, while one said germanium and graphite were expected to make the final mix.
NATO's Critical Elements
Most of the minerals under consideration, except magnesium, appear on NATO's list of 12 elements deemed critical to the defence industry.
Industrial and Technological Importance
Beyond military hardware, the metals are essential to aircraft, cars, semiconductors in devices such as smartphones, and renewable energy infrastructure including wind turbines.
EU Coordination and Future Plans
The European Commission announced the stockpile initiative in December. Ten EU countries are involved in the planning process in working groups led by Italy, France and Germany.
France's G7 Presidency and Secretariat Plans
France has made diversifying critical mineral supplies a priority of its G7 presidency, and the bloc is in parallel talks to set up a permanent secretariat so the work survives beyond rotating presidencies.
Potential Storage Hubs in Italy
Porto Marghera and Trieste
Italy's Industry Minister Adolfo Urso said EU officials visited Porto Marghera near Venice on Tuesday to assess its viability as another hub for storage. Urso has previously said the larger port at Trieste was also in the running as a Mediterranean hub.
Official Responses
A spokesperson for the European Commission declined to comment.
(Reporting by Julia Payne and Pratima Desai; Editing by Bernadette Baum and Hugh Lawson)
