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| EU CRMA |
Five EU-backed projects focus on rare earth refining, recycling, and midstream supply chain independence
The European Union has approved five rare earth projects under its Critical Raw Materials Act (CRMA), targeting midstream and downstream stages like processing and recycling. This marks a strategic pivot away from raw material extraction and toward supply chain autonomy, aiming to challenge China’s 80–90% control over global rare earth processing.
The selected companies — Caremag, Itelyum Regeneration, MagREEsource, Mkangao Resources, and LKAB — will benefit from fast-tracked permitting. Approval deadlines are capped at 27 months for extraction and 15 months for processing, significantly expediting project development.
China’s Rare Earth Policies Push EU to Localize Supply Chains
The EU’s move comes as China plans tighter export controls on rare earth materials. In February, Beijing proposed including imported rare earth ores in its domestic mining quotas, effectively restricting tolling agreements unless the importer holds ownership — a limitation enshrined since 1998.
With China prohibiting toll-only processing, the EU sees localized refining capacity as critical. The CRMA-backed projects are designed to become operational by 2030, positioning Europe as a vital alternative rare earth hub.
Industry Applauds EU’s Strategic Shift
The rare earth industry has welcomed the CRMA support, viewing it as a major regulatory signal for diversification. Though some timelines remain uncertain, the EU’s commitment to processing infrastructure is expected to stimulate investment and reduce strategic vulnerabilities in critical materials.
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RAREMETAL
