Europe Looks to Sure Up Future Rare Earth Supply

By Joel ScanlonFeb 1 2011

In a bid to reduce dependency on China’s uncertain rare earth minerals supply the European Commission is developing a strategy to help member nations.

Part of this is a move to recycle and stockpile rare earth elements or REEs in a manner which acts as a buffer against potential shortages and higher prices in coming years.

The European Union wants the industries to play a greater role in assisting African nations in the extraction of these rare earth elements as well. These minerals are essential in the production of a number of the European Union’s exports, most notably cars and electronic gadgets.

Lawmakers hope that recycling could provide the European community the impetus it needs in handling the conservation of rare earth minerals. A German member of the European Parliament Reinhard Butikofer said that protecting supplies of scarce raw materials would at best be a temporary answer to the problem.

A commission has been looking into the options available with the European Union on rare earth minerals. According to draft strategy papers from the commission at the heart of current development lies a series of changes in global supply and demand patterns as well as short-term shocks in key commodity and raw material markets.