The UK has launched an ambitious critical minerals and rare earths strategy aimed at reducing its reliance on China, whose dominance over global mineral supply chains continues to pose economic and geopolitical risks. Prime Minister Keir Starmer emphasized that the country can no longer depend on a narrow group of foreign suppliers for materials vital to national security and modern technology.
“For too long, Britain has relied on a handful of overseas sources, leaving our economy and security vulnerable to global disruptions,” Starmer said as he introduced the plan.
At the heart of the initiative is a £50 million investment package to accelerate production at Cornwall’s tungsten and lithium sites—home to Europe’s largest lithium deposits. The European Union has already identified Cornwall’s tungsten mine as a candidate for financial support, reflecting the region’s growing strategic importance.
The announcement comes in the aftermath of a tense standoff between China and the EU over the supply of crucial automotive chips. The dispute highlighted Beijing’s readiness to leverage its control of critical materials—such as rare earth magnets, used in everything from electric vehicles and wind turbines to household appliances—for political influence.
Both the UK and the United States are now racing to diversify supply chains, but developing rare earth and critical mineral capacity is a long, capital-intensive process. Converting raw lithium into battery-grade lithium hydroxide, for example, requires specialized refineries. Europe has only one such facility—a German plant that took years and significant investment to complete—illustrating the massive funding needed to secure domestic supply.
EU industry commissioner Stéphane Séjourné recently acknowledged that Europe lags behind the United States, noting that the US “business department buys stocks of critical materials before anyone else—often from under our noses.”
The UK signed a minerals cooperation pact with Saudi Arabia to strengthen supply chain security and stimulate foreign investment. Rare earths—crucial for smartphones, electric vehicles, renewable energy technologies, and the data-center infrastructure powering artificial intelligence—have become a strategic priority for Western economies.
The UK’s strategy sets a target: no more than 60% of any single critical mineral should come from one foreign partner. According to government data, Britain currently produces just 6% of the critical minerals it consumes.
To change this, the plan focuses on expanding domestic extraction, processing, and recycling, with particular emphasis on lithium, nickel, tungsten, and rare earth elements. The UK aims to produce at least 50,000 tonnes of lithium domestically, a milestone that would significantly strengthen its position in the global clean-energy and electric-vehicle markets.
Starmer called critical minerals “the backbone of modern life and our national security,” adding that boosting homegrown production will enhance economic resilience, support green-technology industries, and help lower long-term living costs.
With global demand for battery metals—especially lithium, nickel, and copper—surging, the UK’s strategic pivot marks a decisive step toward safeguarding its energy transition and reducing vulnerability to geopolitical pressure.
