The global supply chain of critical minerals must be diversified for jurisdictions like the EU to reach its ambitious climate targets,she said.
“We can only accelerate renewable deployment if we will diversify supply routes for critical minerals,” Simson said.
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“It is no secret that we are both concerned about the monopolistic position of some actors in the critical minerals market.”
Critical minerals include rare earths that are needed for electric vehicles and wind turbines,with 80 per cent of the global supply of processed critical minerals coming from China. Lithium,to make rechargeable batteries,is also crucial for green technology but more than 95 per cent of supply is controlled by China.
Australia has some of the world’s biggest known reserves of critical minerals but does not have the capability to process them. It is one of the largest lithium producers and ranks among the top producers of nickel,cobalt,manganese ore and rare earths,but nearly all of it is shipped to Asia for processing before being made into products.
Simson committed to establishing a strategic partnership when she met with Climate Change and Energy Minister Chris Bowen and Resources Minister Madeleine King yesterday.