According to the German industry association BDI, the country’s reliance on raw materials from abroad has reached unprecedented levels and must be addressed as a critical industrial policy priority. BDI head Siegfried Russwurm emphasized this point at a conference on resource security, noting that the dependence poses a dual risk for both decarbonisation and digitalisation. An analysis by the BDI revealed that a potential ban on lithium exports from China could jeopardize up to 115 billion euros in value creation in Germany, with the automotive sector facing losses of around 42 billion euros. Notably, China supplied about half of Germany’s lithium imports in 2024, a significant rise from just 18 percent in 2014, despite controlling only a fifth of the world’s proven lithium resources. Russwurm urged policymakers to proactively mitigate such risks, asserting that the current response time is insufficient. He argued that secure access to raw materials is imperative for national security, especially as autocratic governments leverage resources for political blackmail. Traditional market-based approaches are ineffective in this context, he added. To maintain a competitive edge in global supply chains, Germany and Europe must promptly pursue countermeasures, including domestic mining and processing projects, establishing international partnerships, and enhancing resource recovery rates through recycling. Russwurm highlighted that Germany has untapped potential in mineral resources, such as two significant lithium reserves, and the BDI plans to develop ten mines, 15 processing plants, and 15 recycling facilities by 2030. He reiterated the urgency of making decisive investments, as raw materials like cobalt, copper, and lithium are essential for energy transition technologies including electric vehicle batteries and wind turbines. A secure and sustainable supply of these crucial materials is vital for achieving Germany’s strategic energy and industrial policy goals and for transitioning to a climate-neutral economy.
