Mitigating the UK’s Dependence on Chinese Resources
The escalating reliance on China for critical minerals is a matter of growing concern. Currently, 100% of Europe’s heavy rare earth elements are sourced from China, alongside significant portions of other key materials. With global supply chains becoming increasingly vulnerable, the need for domestic solutions has never been more urgent. For the UK, securing independent access to battery metals is crucial—not just for economic resilience but for a sustainable, net-zero future.
Why Critical Minerals Are Essential
Critical minerals are the backbone of modern technology and industry, playing a pivotal role across all sectors. A single smartphone can contain up to 50 different metals, enabling its compact design, lightweight structure, and cutting-edge functionality. Beyond consumer electronics, these materials are indispensable for clean technologies such as solar panels, wind turbines, electric vehicles (EVs), and energy-efficient lighting.
Currently, the EU faces a severe dependence on China for these minerals (VC Elements):
• 100% of heavy rare earth elements, vital for hybrid cars, fibre optics, and nuclear power.
• Nearly 80% of lithium used in EVs and electronics batteries.
• 97% of magnesium, crucial for aerospace alloys and automotive parts.
The Risks of Dependence
The EU’s reliance on China for these critical materials poses significant risks, particularly the concern that China could leverage its dominance to influence global supply chains. In response, the EU introduced the Critical Raw Materials Act in May 2024, aiming to reduce reliance and ensure secure access to essential resources. The act outlines ambitious targets, including:
• Producing at least 10% of critical raw materials within the EU.
• Recycling up to 25% of annual consumption.
• Reducing dependency on any single non-EU country for critical materials to below 65% by 2030.
Recyclus Group’s Role in Securing the Future
At Recyclus Group, we are proud to be part of the solution. Through our cutting-edge lithium-ion battery recycling facility, LiBatt, we’re advancing sustainable methods to reclaim critical minerals from end-of-life lithium-ion batteries.
Since the launch of operations over a year ago, we have effectively closed the loop on these essential resources, reintegrating them into the manufacturing process and reducing the reliance on new mining activities.
Our strategic partnerships with UK industries and international offtake agreements ensure that recycled materials are consistently fed back into the supply chain, helping to fortify the UK’s domestic supply of these vital metals.
Why This Matters for the UK
1. Energy Security – The UK’s push for electrification relies on uninterrupted access to raw materials. By expanding domestic recycling capabilities, we reduce the risks posed by geopolitical tensions and supply chain disruptions, ensuring a steady flow of critical minerals.
2. Economic Growth – Creating a local circular economy for battery metals boosts job creation, spurs technological innovation, and strengthens industrial resilience. By advancing recycling efforts, the UK can maintain a competitive edge in the rapidly growing EV and energy storage sectors.
3. Environmental Benefits – Recycling is more than just a solution for supply chain security—it’s a key driver of sustainability. By reducing the need for virgin mineral extraction, we can significantly lower carbon emissions and reduce the environmental impact of battery production.
A Vision for a Self-Sufficient UK
To elevate the UK’s standing in the global mineral supply chain, stronger policy incentives are needed to prioritise battery recycling and sustainable resource management. Continued investment in next-generation recycling technologies and closer collaboration across the entire supply chain will be essential to ensuring the UK’s transition towards self-sufficiency in critical minerals.
At Recyclus Group, we are committed to leading this charge. By scaling up our operations, innovating at every step, and fostering strategic partnerships, we are working to make the UK a global leader in battery metal recovery.