EU Taps Germany, France & Italy for Mineral Stockpile

The European Union's three largest economies—Germany, France, and Italy—are set to lead a major initiative to build strategic stockpiles of critical minerals, a move designed to reduce the bloc's reliance on China for essential raw materials.

According to sources familiar with the strategy, the plan assigns specific responsibilities to each nation to streamline the effort.

A Three-Pronged Approach to Resource Security

Under the new framework, the division of labor is clear:

• Germany will be responsible for overseeing the sourcing of the critical minerals.

• France will manage efforts to secure financing for the EU's purchases.

• Italy will oversee the storage and logistics for the stockpiled metals and minerals.

This coordinated structure was outlined in a December meeting with EU officials. However, details regarding which producers Germany has approached or which banks might be involved in financing the purchases have not yet been made public.

The RESourceEU Action Plan Framework

This stockpiling initiative is a core component of the European Commission's wider RESourceEU Action Plan, which was formally adopted in early December. The plan aims to secure the EU’s supply of materials like rare earth elements, cobalt, and lithium.

The Commission stated the initiative provides concrete tools and financing to achieve several key goals:

• Protect European industry from geopolitical tensions and price volatility.

• Promote critical raw material projects both within Europe and abroad.

• Forge partnerships with allied countries to diversify supply chains.

Work on the coordinated EU approach to stockpiling began late last year, with a pilot scheme anticipated to become operational early this year.

Building a Resilient EU Supply Chain

To support these efforts, the Commission is establishing a European Critical Raw Materials Centre. This body will act as a "portfolio manager" for the EU, handling joint purchasing and managing the stockpiles to ensure resilient supply chains.

Looking ahead, the EU is also planning to enhance its internal circular economy. By early 2026, the Commission intends to introduce export restrictions on scrap and waste from permanent magnets to strengthen Europe's domestic recycling capacity. Similar measures are being considered for copper scrap if deemed necessary.

Beyond stockpiling and recycling, the EU is exploring direct investment to secure resources at their source. In November, European Commissioner Maros Sefcovic noted that the bloc is considering buying direct stakes in critical minerals projects in Australia as another way to secure long-term supply.