Europe has finally recognized the strategic importance of rare-earth elements with the launch of the REsourceEU Action Plan, but Boliden CEO Mikael Staffas delivers a stark assessment: the EU is at least ten years late. His warning reflects growing concern among European industrial leaders that Brussels is scrambling to catch up after years of policy delays, supply-chain dependence, and chronic underinvestment in raw-material capacity.
For decades, Europe outsourced the foundations of its most advanced technologies—including wind turbines, electric vehicles, semiconductors, and defence systems—to foreign suppliers, with China emerging as the dominant force in rare-earth separation and magnet manufacturing. The geopolitical urgency only became clear, global supply-chain disruptions, and rising tensions between China and the West. Yet policy action lagged. It was not that the EU translated its ambitions into actionable targets under the Critical Raw Materials Act and the REsourceEU execution plan.
A Decade Lost: The Structural Reality of Rare-Earth Development
Staffas’ critique is grounded in the long timelines required for mining and refining projects. Bringing a rare-earth deposit from exploration to commercial operation, meaning that strategies launched today will not yield meaningful European independence.
In comparison, China’s rare-earth ecosystem developed over four decades, with state-backed coordination, industrial subsidies, vertically integrated producers, and aggressive global acquisitions. Europe now faces the daunting task of accelerating a multi-decade industrial build-out.
Catching Up: Funding, Permitting, and Industrial Strategy
To accelerate its rare-earth ambitions, Europe is introducing a combination of:
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New financing mechanisms for exploration, processing, and downstream magnet production
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Permitting reforms to reduce bottlenecks
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Offtake guarantees to encourage investment in magnet manufacturing and recycling
The EU is prioritizing magnet recovery from end-of-life vehicles and wind turbines, leveraging Europe’s abundant waste streams to reduce import reliance.
Staffas emphasizes that incremental measures are insufficient. Building a competitive European rare-earth value chain requires a full industrial pivot—from mining and separation to metallization, alloy production, and magnet manufacturing.
Public Resistance and Permitting Bottlenecks
Europe’s rare-earth ambitions face additional hurdles:
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Environmental permitting delays
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Community opposition to local mining projects
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Bureaucratic inertia across national and EU authorities
Even in resource-rich countries like Sweden, Norway, and Finland, many deposits remain undeveloped due to land-use restrictions and regulatory delays.
Signs of Momentum
Despite challenges, progress is emerging:
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Certain strategic projects are now eligible for fast-tracked permitting
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Several member states are reclassifying critical raw materials as essential to national security
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Initiatives to develop magnet recycling are underway, potentially reducing dependence on imported rare earths
These measures demonstrate Europe’s growing recognition that a secure rare-earth supply chain is vital for industrial sovereignty.
The Urgency of Action
Staffas’ warning is unambiguous: Europe must act at wartime speed. Without rapid permitting reform, large-scale state-backed investment, and coordinated industrial planning, the continent risks permanent dependence on foreign-controlled supply chains.
The next decade will determine whether Europe can reshape its industrial future. Policy statements alone are no longer sufficient. Europe must build actual mines, refineries, and magnet factories—now—or face the consequences of delayed industrial sovereignty.
