Scholz seeks to secure more critical minerals on South America tour

30/1/2023 12:11

        German Chancellor Olaf Scholz announced a new, expanded commodities partnership with Chile on Sunday during a tour of South America that Berlin hopes will help secure more access to critical minerals key to the transition to a green economy.
        
        Europe's largest economy has fallen behind in the race for critical minerals in part due to a distaste for the dirty business of mining as well as faith in the open market, German government officials say.
        
        That has led to a reliance on China, which has invested widely in the mining sector in resource-rich South America and in processing commodities.
        
        Now though, soaring demand for critical minerals and geopolitical concerns are sparking a push to better secure and diversify supply for example through offtake agreements, stakes in mines or possibly the establishment of Germany's own processing capacity.