24/12/2025
Mining News

EU-Serbia Raw Materials Partnership Sparks Controversy Over Lithium Mining and Governance

The European Union (EU) and Serbia recently signed a strategic raw materials partnership, aimed at securing Europe’s access to critical minerals and diversifying supply chains in its neighborhood. While the agreement marks an important step for European industrial and geopolitical strategy, it has ignited widespread protests across Serbia, highlighting the tension between resource development, environmental protection, and democratic governance.

EU Goals and the Critical Raw Materials Act
The partnership is part of the EU’s broader Critical Raw Materials Act (CRMA), designed to secure strategic resources crucial for batteries, electric vehicles, and green technologies while reducing dependence on Chinese imports. By fostering domestic mining, processing, and recycling capacities, the EU seeks to strengthen the continent’s economic and technological resilience.

For Serbia, the partnership is strategically significant: the country hosts rich lithium deposits, particularly in the Jadar Valley, and represents an opportunity for the EU to expand its influence in the Balkan raw materials sector, where China has increased its presence.

The Memorandum of Understanding (MoU), signed at the Serbian Critical Raw Materials Summit, outlines cooperation in five key areas: developing raw materials and battery value chains, innovation and research, adherence to high environmental, social, and governance (ESG) standards, mobilization of financial instruments, and skill-building for high-quality jobs in the sector. A joint roadmap is currently being developed to detail specific activities and ensure sustainable, transparent implementation.

The Jadar Lithium Project: A Strategic and Controversial Initiative
Central to the partnership is the Jadar lithium project, led by the British-Australian company Rio Tinto through its Serbian subsidiary, Rio Sava Exploration. The project aims to produce lithium carbonate and boron compounds, potentially covering 10–15% of Europe’s lithium demand, according to the German Mineral Resources Agency (DERA).

Despite its economic and strategic promise, the project has faced long-standing resistance due to environmental concerns, potential land expropriation, and fears over transparency. Local and national protests have repeatedly challenged the government’s permits and spatial planning approvals. Early successes for protesters included the revocation of initial permits and suspension of exploration, but these victories proved temporary.

Political Controversies and Renewed Tensions
After parliamentary elections, the Serbian President described halting the project as a “biggest mistake,” signaling a revival of the project. A petition signed by 38,000 citizens calling for a ban on lithium exploration was ignored, while the Ministry of Mining extended licensing deadlines 18 times. The signing of the EU-Serbia partnership MoU further fueled perceptions that the project had strong backing from both Belgrade and the EU, particularly from Germany, which has strategic industrial interests in battery metals.

The Constitutional Court of Serbia later invalidated the government’s suspension of the spatial plan, enabling the government to reinstate approvals for the project. This decision triggered renewed nationwide protests and heightened state repression, including arrests, police raids, and public campaigns against activists. A parliamentary bill to ban lithium mining was rejected, intensifying public frustration and expanding criticism toward the EU’s involvement in supporting the partnership.

Rule of Law Concerns and Civic Pressure
The unfolding events in Serbia illustrate the limits of EU influence over a government that has systematically weakened democratic institutions over the past decade. Rankings from the Rule of Law Index, Corruption Perception Index, and Freedom House all indicate significant democratic backsliding. Media, civil society, and opposition voices face increasing pressure, and activists protesting the lithium project have reportedly been targeted with spyware, arrests, and smear campaigns.

While the EU has voiced concerns in its Rule of Law Report, it has limited levers to enforce reforms, and accession negotiations have largely stalled. Critics argue that the Serbian government is leveraging the raw materials partnership to strengthen political and economic control while suppressing domestic dissent.

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