Critical Raw Material Risks Revealed
Politics

Critical Raw Material Risks Revealed

The German federal government currently lacks crucial data to effectively lessen the nation’s economic reliance on critical raw materials sourced from China. A response from the Federal Ministry for Economic Affairs and Climate Action (BMWK) to a parliamentary inquiry by the Green Party indicates that the full economic impact of potential Chinese export restrictions “cannot be reliably quantified” as reported by “Der Spiegel”.

Currently, there is no mandatory reporting requirement for companies heavily dependent on these materials, nor is there a central registry to track supply chain vulnerabilities – and neither measure is planned for the immediate future. However, the BMWK, currently led by Minister Katherina Reiche, states it is working to support businesses in diversifying their raw material sourcing.

Despite these efforts, Germany’s dependence on China for certain resources, notably graphite and tungsten, has reportedly increased recently. Simultaneously, information regarding strategic reserves of these materials remains incomplete. The ministry confirms that dedicated funding programs designed to bolster domestic raw material security are not currently in place.

Green Party representative Sandra Detzer has voiced criticism, asserting that “the federal government is shirking its responsibility to act as a strong, independent force in securing greater raw material sovereignty”.