Post by account_disabled on Mar 6, 2024 3:05:32 GMT -8
Few consumers are likely familiar with the uses of gallium or germanium. But the chemicals, which are used in solar panels as well as optical fibers, gained new fame this month after China announced it would restrict their export from August 1. The restrictions, which seek to preserve Beijing's "security and national interests." , are a reminder that the West needs to reinforce its efforts in the global fight to secure the metals and minerals that are critical for the green transition and new technologies. Demand for vital resources such as lithium, copper, cobalt and nickel is expected to more than double by 2030 as the world races to build electric vehicles, wind turbines and solar panels in dizzying quantities.
Investment in the development of these raw materials increased 30 percent last year to more than $40 billion, according to a report this week from the International Energy Agency. Since mining projects take Job Function Email Database between seven and 20 years to complete, speeding up extraction is crucial. If all announced projects are delivered on time, the IEA forecasts that supply will be enough to keep national climate commitments on track by 2030. That may be somewhat comforting, even if it means the world will still be behind in curbing warming. at 1.5C of pre-industrial levels. But it debunks three inconvenient truths that the West must quickly deal with. First, China dominates the extraction and refining of critical minerals to an astonishing degree.
Last year, its companies doubled their investment spending, compared with a 25 percent increase on average for Western mining groups such as BHP, Anglo American and Glencore. China also accounts for about 60 percent of the world's lithium processing; Tesla CEO Elon Musk has called lithium-based electric vehicle batteries “the new oil.” Beijing has also struck deals with nations in Africa and Latin America that are rich in critical mineral deposits. As geopolitical tensions rise, China's potential to weaponize its control of resources, as Russia has done, puts Western economies on edge. Second, the Western mining sector cannot solve the critical mineral shortage alone.
Investment in the development of these raw materials increased 30 percent last year to more than $40 billion, according to a report this week from the International Energy Agency. Since mining projects take Job Function Email Database between seven and 20 years to complete, speeding up extraction is crucial. If all announced projects are delivered on time, the IEA forecasts that supply will be enough to keep national climate commitments on track by 2030. That may be somewhat comforting, even if it means the world will still be behind in curbing warming. at 1.5C of pre-industrial levels. But it debunks three inconvenient truths that the West must quickly deal with. First, China dominates the extraction and refining of critical minerals to an astonishing degree.
Last year, its companies doubled their investment spending, compared with a 25 percent increase on average for Western mining groups such as BHP, Anglo American and Glencore. China also accounts for about 60 percent of the world's lithium processing; Tesla CEO Elon Musk has called lithium-based electric vehicle batteries “the new oil.” Beijing has also struck deals with nations in Africa and Latin America that are rich in critical mineral deposits. As geopolitical tensions rise, China's potential to weaponize its control of resources, as Russia has done, puts Western economies on edge. Second, the Western mining sector cannot solve the critical mineral shortage alone.