From Li-ion batteries and electric vehicles to drones and solar panels, nearly all clean technologies depend on critical raw materials, such as lithium, nickel and cobalt. As the demand for these technologies surges, so too does the demand for their components, placing immense pressure on supply chains.
This is an especially serious issue in Europe, which depends heavily on outside countries for its supply of these materials. South Africa furnishes 41% of the EU’s demand for primary manganese, while Chile provides 79% of its processed lithium. When it comes to batteries, China controls about 70% of the whole battery value chain, from processing raw materials through to assembly. As a result, the EU is highly vulnerable to shortages.
