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EU Parliament Moves to Strengthen Critical Raw Materials Rules Amid Growing Dependence on China

The European Parliament is preparing to vote on amendments to the as Brussels seeks to reduce its dependence on foreign suppliers of minerals essential for defence equipment, electric vehicles, advanced electronics and industrial production.

The proposals, scheduled for debate in Strasbourg on Monday, 19 October, and a vote on Tuesday, would strengthen coordination over strategic supplies and revise the responsibilities of European companies that depend on vulnerable international supply chains.

At the centre of the discussions is a proposal to establish a European Critical Raw Materials Centre, which would coordinate purchasing arrangements, assess supply risks and support the development of strategic reserves.

The initiative comes amid increasing concern over China’s dominant position in the processing and supply of several materials regarded as indispensable to European industry.

Parliament considers stronger European coordination

According to the European Parliament’s October plenary briefing, the proposed Critical Raw Materials Centre would operate as an EU body responsible for several functions currently distributed between European institutions and national authorities.

These would include identifying vulnerabilities in supply chains, conducting risk assessments, coordinating contingency stocks and supporting joint purchasing arrangements.

The objective is to give European governments and manufacturers greater capacity to respond to interruptions in supplies of minerals and processed materials that cannot easily be replaced.

The legislative report has been prepared by the Parliament’s Committee on Industry, Research and Energy, with Dutch Social Democrat MEP Mohammed Chahim serving as rapporteur.

The committee examined amendments to the existing legislation during 2026, with its revised report submitted for plenary consideration on 9th October.

Tuesday’s vote is intended to establish Parliament’s position for negotiations with the Council. It would not, by itself, constitute final adoption of the amended regulation.

China’s position creates supply risks

The European Union depends heavily on imported critical raw materials, particularly those required for batteries, permanent magnets, semiconductors and specialist industrial equipment.

China occupies a particularly important position in the refining and processing of rare earth elements, graphite and several other materials used in high-technology manufacturing.

The concentration of production creates vulnerabilities because disruption at a single stage of processing can affect manufacturers operating across multiple European countries.

According to the Council of the European Union’s assessment of strategic mineral supplies, China is the principal supplier to the EU for numerous materials, including gallium, germanium, magnesium and rare earth elements.

These substances are used in applications extending well beyond electric vehicles.

Permanent magnets are required for certain electric motors, wind turbines and defence systems, while other critical materials are used in radar, satellites, aircraft components and advanced electronic equipment.

Restrictions affecting their availability can therefore have consequences for European industrial output, defence procurement and the development of new technology.

The question for EU policymakers is not simply whether minerals can be obtained, but whether Europe has sufficient alternative sources and processing capacity to withstand restrictions imposed by a dominant supplier.

Existing targets remain difficult to achieve

The Critical Raw Materials Act entered into force in May 2024 and established benchmarks intended to strengthen European production and diversify imports by 2030.

Under the existing framework, the EU aims to develop extraction capacity equivalent to at least 10 per cent of its annual consumption of strategic raw materials, where geological reserves allow.

The corresponding benchmarks are 40 per cent for processing and 25 per cent for recycling.

The legislation also seeks to prevent any single non-EU country from supplying more than 65 per cent of the Union’s annual consumption of a particular strategic raw material at any relevant processing stage.

These are policy benchmarks rather than binding production quotas imposed on individual companies.

Their achievement depends on the development of mines, processing facilities and recycling operations, as well as the ability to attract investment.

New extraction projects frequently require lengthy environmental assessments, infrastructure development and extensive capital investment. Processing operations face additional challenges involving energy costs, technical expertise and commercial competitiveness.

Consequently, reducing import dependence involves more than identifying mineral deposits within European territory.

Greater obligations for manufacturers

The proposed amendments also address the responsibilities of major European companies using strategic raw materials.

Under provisions examined by the parliamentary committee, the European Commission would take a greater role in identifying large manufacturers whose operations depend on strategically important supplies.

These companies could face requirements to assess vulnerabilities in their supply chains, including the geographical location of extraction and processing operations and the ownership of relevant facilities.

The arrangements would be particularly significant for businesses producing batteries, aircraft, drones, satellites, advanced chips and other products considered strategically important.

Where significant risks are identified, companies could be expected to consider measures including diversification, improved material efficiency or maintaining stocks.

The proposals also seek to strengthen recycling and the recovery of valuable materials from existing products, reducing the quantity of newly extracted resources required by European industry.

Recycling alone cannot remove the need for imports, particularly where demand for new technologies is increasing, but it can provide an additional source of supply.

Supply security becomes an industrial priority

The legislation forms part of a wider effort to link European industrial policy with economic security.

Brussels has been seeking additional raw materials partnerships with third countries, while manufacturers remain concerned about the commercial cost of building alternative supply chains.

Recent EU discussions concerning cooperation with Vietnam illustrate the emphasis being placed on securing alternative access to minerals such as tungsten and rare earth elements.

However, diversifying supplies does not necessarily mean transferring extraction and processing to Europe. Partnerships with reliable external producers may remain essential, particularly for materials unavailable in sufficient quantities within the Union.

The proposed European centre would therefore have to balance internal production, international purchasing, strategic stocks and commercial demand.

The immediate legislative issue is whether the revised framework gives European institutions sufficient powers to coordinate these activities without placing disproportionate administrative obligations on businesses.

Tuesday’s parliamentary vote will determine the negotiating position MEPs take into discussions with EU governments over how those responsibilities should be distributed.

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Tesla's vision for the future: Manually driving your own car will be a luxury for the rich

A person in a white outfit holding a helmet is walking toward a Tesla Roadster.
The Roadster's price is likely at least $250,000. Musk said it will be Tesla's only vehicle that humans drive themselves.

Tesla

  • Want to physically drive a Tesla in the future? The Roadster will be your only option, Musk said.
  • The car is not cheap.
  • Musk has compared today's driving to elevator operators.

Want to physically drive a Tesla in the future? Get ready to pay up.

On Thursday, Tesla CEO Elon Musk unveiled the new Roadster with a gravity-defying demo. The car suctioned to the side of a vertical ramp, drove upside down, briefly flew, stuck the landing, and later bunny-hopped and twirled over a standing lineup of other Tesla vehicles.

The stunts were choreographed with autonomy, Musk said — but Roadster owners will eventually be able to manually take the wheel. That will make it unique in Tesla's lineup.

"This will actually be, long-term, the only manually driven car that Tesla makes," Musk said on stage, before Tesla's lead engineer, Lars Moravy, added, "You gotta have some fun sometimes."

Tesla hasn't revealed the car's final price, but we know it'll firmly be in the luxury supercar tier. The company's reservation queue asks customers who want the base Performance trim to fork over a $50,000, due within 10 days. That reservation, alone, is nearly the price of an average car in America, and it doesn't capture the car's final price. Our best pricing ballpark dates back to 2017, when Tesla first said it was bringing back the Roadster. At the time, the automaker collected $250,000 payments from people who wanted a Founder Series model.

Meanwhile, Tesla has been ramping up its autonomy push for its more price-conscious vehicles.

In September, it started rolling out the Cybercab — a vehicle that leans so heavily into self-driving that it has no steering wheel, brake pedals, or side mirrors. Tesla says it wants to eventually sell those cars to consumers at less than $30,000 apiece.

On recent earnings calls, Musk has also praised the recurring revenue from subscriptions of Full Self-Driving (Supervised) from Cybertruck, Model Y, and Model 3 owners.

Musk has talked a lot about a world where driving becomes obsolete. He has compared driving a car to operating an elevator, a profession that was largely phased out in the mid-20th century as elevators became automated.

"Now, you just get in, press a button and a modern elevator, if inspected regularly, is extremely safe," he wrote on X in March.

Treating driving like elevator operation requires a pretty big leap. Driving is still a hobby, a sport, and — for many people — a point of pride. By Moravy's own admission, driving is fun.

There's still a chance in Musk's vision of his carmaker's future that drivers can control their own Tesla and lean into that fun. They'll just need to open their checkbooks.

Read the original article on Business Insider

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EU fast-tracks merger of three European firms into one SpaceX rival. It wants to end reliance on US satellites that failed Ukraine this week

Satellites are the new frontline in space and strategy. Photo: Depositphotos

The EU plans to fast-track antitrust approval for Project Bromo, a satellite venture meant to cut Europe's reliance on American space technology, Bloomberg reports. The news comes days after the White House ordered the Pentagon to slow Starshield, the military-grade Starlink service Ukraine's forces use, according to Reuters.

Project Bromo would merge the satellite businesses of Italy’s Leonardo and France’s Airbus and Thales into one company. Bloomberg calls it the bloc’s answer to SpaceX, and the EU sees it as a regional giant able to compete with US and Chinese rivals.

European Commission President Ursula von der Leyen has backed the project, Eunews reports.

“These are the types of industrial champions we need if Europe is to lead in the space economy of tomorrow,” she said at an international space summit in Paris last month, citing Bromo by name.

A year of quiet groundwork before the filing

Over the past year, the partners and EU officials have worked through potential competition concerns so they can be resolved before a formal application, according to Bloomberg. The companies have not yet applied, but Brussels expects them to in the coming weeks.

For large deals, regulators usually hold such preliminary talks to flag obstacles early. If the companies offer concessions, such as selling some assets, the deal could clear after a first-phase review of a little over a month. If competition concerns remain, the Commission could open an in-depth probe lasting several months.

The caveat behind the SpaceX-rival label

A fast review is not a free pass. Competition Commissioner Teresa Ribera has warned that the project cannot expect one, and unions and suppliers have raised concerns about jobs and competition, Bloomberg reports. Von der Leyen’s public backing drew criticism from some members of the European Parliament.

Her support “doesn’t mean we are not going to apply and to enforce our own regulation,” Ribera told Bloomberg TV.

Why it matters to Ukraine

The push is part of a wider European scramble for space autonomy. Ukraine wants to build a satellite system of its own that no single company controls.

This week showed why. After the Starshield order, the military-grade terminals stopped working on fast-moving objects, and now work only at speeds of up to 160 kph, a person in Ukraine’s Defense Ministry told Reuters. Ukrainian officials said the restrictions complicated strike missions against Russian forces and logistics in occupied territory and slowed the interceptor drones that shoot down Shaheds.

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Von der Leyen’s State of the Union: Europe’s push for independence faces a delivery test

European Commission President Ursula von der Leyen during her speech in 2025 Photographer: Dati Bendo © European Union, 2025

Ursula von der Leyen is expected to make the case for a more independent and resilient Europe in her State of the European Union address on Wednesday (16 September). But analysts and political groups in the European Parliament are demanding something more concrete: evidence that the Commission can turn its expanding ambitions into results Europeans can see.

The State of the European Union address, commonly known in Brussels as the “SOTEU”, is the Commission president’s annual speech to Parliament setting out priorities for the year ahead. Modeled in part on the US president’s State of the Union address to Congress, the EU version began in 2010 under then Commission president José Manuel Barroso. Von der Leyen will deliver this year’s address at 9:00 tomorrow morning (16 September).

The speech comes as Europe is confronted with an ongoing war in Ukraine, a fragmenting global trading system and the challenge of strengthening defence while reviving competitiveness and financing the green transition. At home, von der Leyen must reconcile political groups that broadly agree on the need for a stronger Europe but differ over what that means.

For Manfred Weber, chairman of von der Leyen’s centre-right European People’s Party group, the focus should be on voters’ economic and security concerns.

“Europe’s priorities must reflect people’s concerns: jobs, the cost of living and economic security,” Weber said. He called for a stronger economy and well-paid jobs, tighter control of Europe’s borders, leadership on AI, continued support for Ukraine and “a strong European defence pillar”.

On the centre-left, Iratxe García Pérez, president of the Socialists and Democrats group, argues that the Commission has relied too heavily on deregulation.

“Europe needs more than announcements,” García Pérez said. “It needs concrete policies backed by the necessary resources.” The S&D wants greater emphasis on affordable food, housing and energy, quality jobs and climate action, alongside European sovereignty in defence and digital technologies.

Renew Europe is also making delivery the benchmark, calling on von der Leyen to present “a credible plan turning European ambition into visible results” and framing the choice as one between united European action and fragmentation.

Analysts at the European Policy Centre see the same challenge extending to Europe’s position in the world.

“Von der Leyen will tell us that the EU is forging new partnerships around the globe,” said Almut Möller, the EPC’s director for European and Global Affairs. Canadian Prime Minister Mark Carney’s attendance will reinforce the geopolitical dimension of the speech.

But strategic autonomy goes beyond defence and trade. Georg Riekeles, the EPC’s head of political economy, identifies financial dependence as an overlooked vulnerability. With the international financial system becoming less stable, Europe cannot assume Washington and the US Federal Reserve will play the stabilising role they did in previous crises. Von der Leyen “must therefore address financial sovereignty as a core element of European security”, he argues.

Technology poses another test. Elizabeth Kuiper, the EPC’s head of health and societal resilience, says von der Leyen should “reject the trade-off between competitiveness, technological progress, and the EU’s social model”, particularly as AI affects employment, income security and social cohesion.

Climate policy presents a similar collision between ambition and resources. Stefan Šipka, the EPC’s head of sustainable prosperity, argues that Europe needs “a robust delivery mindset, no more strategies” as it tries to combine defence, decarbonisation and economic security.

The common thread is delivery. Von der Leyen has no shortage of strategic objectives. The harder task on Wednesday will be explaining how they fit together, how Europe will finance them and what takes priority when they conflict.

For EPC policy analyst Eric Maurice, von der Leyen “must provide strategic focus and political clarity”.

“As the midterm in her second term approaches,” Maurice said, “it is time for von der Leyen to present a vision and deliver.”

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Commission promises to cut EU public procurement rulebook from 900 pages to 200

The European Commission wants to cut the EU’s public procurement rulebook from around 900 pages to 200, in a sweeping reform that aims to simplify tendering while giving governments greater scope to favour European economic and security interests, writes Catherine Feore.

Executive Vice-President Stéphane Séjourné held up the existing body of rules alongside its much slimmer replacement, to illustrate his point. 

“These here are the European rules which currently govern public procurement in Europe: 900 pages,” he said. “And this is what we are proposing today… down to 200 pages.”

The proposed Public Procurement Act would replace three EU procurement directives with a single regulation, with a view to simplifying procurement provisions spread across 26 sectoral laws and cutting the number of procedures from five to three.

The Commission estimates the changes could save businesses and public authorities €650 million a year in administrative costs.

The reform matters because of Europe’s massive purchasing power involved. EU public procurement exceeds €2.5 trillion annually, around 15% of EU GDP, covering everything from trains and hospitals to energy infrastructure, schools and IT systems.

From lowest price to strategic purchasing

The proposal is not just about cutting red tape. Brussels wants governments to use their purchasing power more strategically.

The Best Price-Quality Ratio would become the standard method for awarding contracts, with quality normally accounting for at least 30% of the assessment and 50% for labour-intensive contracts. Authorities could consider environmental and social performance, innovation, security and resilience alongside price.

The commitment to a so-called European preference has been tempered by the EU’s international commitments, but access can be restricted when a country doesn’t reciprocate market access. Restrictions could also be imposed where reliance on foreign suppliers creates security-of-supply dependencies or threatens EU economic security.

“European public money should, wherever possible, create jobs, investment and opportunities in Europe rather than filling the order books of our competitors,” Séjourné said.

Five procurement procedures would become three: open, dynamic and innovation procedures. Each would allow negotiation between buyers and bidders.

The Commission also plans an integrated EU digital procurement marketplace connecting national e-procurement platforms. A company registered through one connected system should be able to bid elsewhere in Europe without repeatedly submitting the same documentation. This is intended to reduce bureaucracy and tackle one of the current system's weaknesses: too little competition, particularly from SMEs and companies bidding across borders.

National, regional and local priorities may appreciate this flexibility in theory, but constrained budgets often mean that price will remain the bottom line for many. This legislation offers greater freedom in determining needs, but it remains to be seen what its impact will be.

PHOTO CREDIT: European Commission Executive Vice-President Stéphane Séjourné says the rules reduced from 900 pages to 200 pages © European Union

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