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The Scramble for Rare Earths - 4. The EU's Dependency on China

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Sep 30, 2022
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ANECDOTE

Europium's Versatility

  • Europium, a rare earth metal, has diverse applications, from TV screens to Euro banknotes.
  • Its presence in banknotes helps prevent counterfeiting, with a record low number of fakes in 2020.
INSIGHT

EU's Dependence on China

  • The EU heavily relies on China for rare earth metals, including Europium, despite its name.
  • This dependency is around 90%, highlighting a strategic vulnerability in the green energy transition.
INSIGHT

China's Strategic Advantage

  • China's dominance in solar panel production stems from its industrial policy and high domestic demand due to air pollution.
  • China strategically uses its green technology advancements as a form of soft diplomacy.
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