China sparks EU panic: Now Xi threatens to tighten grip on key supplies to Europe

[beijingwalker]

China sparks EU panic: Now Xi threatens to tighten grip on key supplies to Europe​

EUROPE has been scrambling to secure its supply of critical minerals as China threatens to create a fresh crisis.​

By ANTONY ASHKENAZ
10:16, Thu, May 26, 2022 | UPDATED: 10:17, Thu, May 26, 2022

In an effort to end the EU’s reliance on Russian fossil fuels, the bloc is rapidly moving towards renewable energy. However, renewable energy projects require rare metals and minerals like lithium, which Europe will have to import from foreign countries, the most notable of which is China. This time Europe is keen to ensure that it is not completely dependent on foreign countries for their supplies, as fears grow that Chinese Premier Xi Jinping could squeeze the supply of such minerals in a bid to apply political pressure on Europe.

This tactic was the one adopted by Russian President Vladimir Putin, who squeezed the supply of natural gas and has been using its position as Europe’s largest supplier as leverage while Russia invades Ukraine.

According to a report by the EU Commission, China produces 98-99 percent of all the "rare Earth elements" in the world.

These are a collection of 17 rare metallic elements that are used in heavy industry and high-tech uses, especially in the developed world.

EU leaders are currently meeting to discuss the continent’s strategic autonomy in the raw minerals sector, which means that instead of relying on just one country, like China, the EU will diversify its imports from a range of countries.

Speaking at the Raw Materials summit on Wednesday, European Commissioner for Internal Market, Thierry Breton said: “The goal is to make sure that our strategic dependency is diminished because considering our digital, green and resilient transformation without secure access to raw materials is simply not possible.”

Mr Breton added that in order to decrease the EU dependency on third states, the bloc has announced the Raw Materials Act – to “intensify the work on the supply of critical minerals.”

When China locked down its borders to Covid-19, supply chains around the world were greatly affected, as China dominated large sectors in various industries.

For example, Europe’s aluminium manufacturing industry was disrupted when China, which provides the continent with 93 percent of its magnesium supply, scaled back production.

Magnesium is a critical metal used in the manufacturing of aluminium.

Bernd Schäfer, CEO of EIT Raw Materials said: “It is simply unhealthy if you have certain raw materials segments with more than 80 or 90 percent dependency on one country.”

Given China’s dominance in the supply of such minerals, Jason Kaplan, the founder and Director of Commodities Analysis and Insight Ltd, has previously told Express.co.uk: “Basically, a lot of our industries will somewhat grind to a halt if flows from China stops its supply”.

According to the EU Commission report, these raw materials are crucial for developing clean technologies like wind turbines, solar panels, and electric vehicles.

Mr Kaplan continued: “China is so dominant in some specific minerals that would be very easy for it to exert political pressure by cutting off countries.
“This is a really big worry for the EU, US and UK.

“If China wants to be pugnacious and do something that will generate and kind of conflict, and they cut off access to these minerals.”

China sparks EU panic: Now Xi threatens to tighten grip on key supp...

EUROPE has been scrambling to secure its supply of critical minerals as China threatens to create a fresh crisis.

www.express.co.uk

 

[beijingwalker]

Both China and Russia have strangling hold on EU's throat, Besides its market, EU has nothing that China really needs, China and Russia have everything that EU must have.

 

[Chat SAMOSA]

This is a EU risk assessment report. Why is the thread title 'Xi sends into panic'?

 

[beijingwalker]

This is a EU risk assessment report. Why is the thread title 'Xi sends into panic'?

The original title

 

[Chat SAMOSA]

But has Xi or LI said anything or is the report sensationalized?

 

[Broccoli]

But has Xi or LI said anything or is the report sensationalized?

It's express.uk what's known to be worse than Daily Mail.

 

[kankan326]

Both China and Russia have strangling hold on EU's throat, Besides its market, EU has nothing that China really needs, China and Russia have everything that EU must have.

China actually needs EU some high end products. Like Lithography, CNC machines. But they were banned to export to China long ago. So yes, EU has nothing that China needs now.

 

[DF41]

Both China and Russia have strangling hold on EU's throat, Besides its market, EU has nothing that China really needs, China and Russia have everything that EU must have.

 

[kingQamaR]

First, this is impossible. Because you can't control all countries and everyone.Second, your idea is evil. Why cut off a country's external ties? Why do you think you have the right to control the fate of others?You need a psychologist. You are likely to kill a lot of people in the future. You'd better control yourself.

 

[Broccoli]

First, this is impossible. Because you can't control all countries and everyone.Second, your idea is evil. Why cut off a country's external ties? Why do you think you have the right to control the fate of others?You need a psychologist. You are likely to kill a lot of people in the future. You'd better control yourself.

Some of our Chinese members have mental brakdown because Russian military, especially it's equipment, is struggling in Ukraine and most PLA frontline AFV's (all tanks expect Type-15) are based on same faulty designs. China also has economic and social issues what add on anxiety and that turns into hostility towards foreigners who'm they see standing in front of "Chinese century" even thought most problems are their own making.

Example: I've seen Chinese ultra-nationalist claiming that poor quality construction in China is a conspiracy by western powers even thought it's actually happening due greed of local builders.

 

[beijingwalker]

Some of our Chinese members have mental brakdown because Russian military, especially it's equipment, is struggling in Ukraine and most PLA frontline AFV's (all tanks expect Type-15) are based on same faulty designs. China also has economic and social issues what add on anxiety and that turns into hostility towards foreigners who'm they see standing in front of "Chinese century" even thought most problems are their own making.

Example: I've seen Chinese ultra-nationalist claiming that poor quality construction in China is a conspiracy by western powers even thought it's actually happening due greed of local builders.

LOl, we see more of how US was defeated and abandoned billions of its junk weapons in Afghanistan.

 

[kingQamaR]

A lot of people are living in a dream or nightmare where they find themselves imagining things that are not happening.

Time to wake up

 

[MeFishToo]

China actually needs EU some high end products. Like Lithography, CNC machines. But they were banned to export to China long ago. So yes, EU has nothing that China needs now.

Thats not true at all. And if China were to stop importing from the EU, maybe EU would stop importing from China too.

And the list goes on..

 

[PakFactor]

View attachment 848269

LOL, the Chinese holding the rope of a South Korean dog being raw dogged by North Korea.

A lot of people are living in a dream or nightmare where they find themselves imagining things that are not happening.

Time to wake up

As Pakistanis we need to sit on the side line we do not have a dog in this fight and no need to get involved, rather a pressured Europe works in our favor in the long-run.
Think of it from another lens. I will profile post you.

 

[MeFishToo]

China exploits the open research communities in Europe, practically stealing knowhow. Its a problem, and it may lead to the exclusion of chineese researchers in the future, especially research concerning hightech critical infrastructure.
In my line of work, technical equipment shippet around the world is never going through China. They simply copy anything passing through.

So yes, China does need the outside world.