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EU Makes $2 Billion Push to Curb Reliance on China’s Rare Earths

  • Action plan calls for state aid to build European industry
  • Elements are key to EVs, turbines and digital transformation

The European Union is pushing for the continent to establish its own supply of rare earths to reduce an uneasy reliance on China for the elements crucial to electric cars, wind turbines and mobile phones. 

A plan released Thursday by the European Raw Materials Alliance, set up by the EU last year, calls for governments and manufacturers to support mining and processing through a mix of subsidies and sales quotas. The group identified 14 projects on the continent -- from mining to magnet production and recycling -- that will require about 1.7 billion euros ($2 billion) of total investment.