China’s critical minerals dominance leaves UK ‘dangerously exposed’, MPs warn

{"text":[[{"start":9.38,"text":"The UK remains “dangerously exposed” to the risk of China cutting off access to critical raw materials despite more than a decade of clear warnings over Beijing’s willingness to exploit its dominance over the industry, MPs have warned."}],[{"start":23.62,"text":"More than 15 years after China cut off supplies of rare earth metals to Japan after a spying row, successive British governments have failed to reduce reliance on China for critical minerals used in defence, auto and green industries, a report for the Business, Innovation, Science and Trade Committee found."}],[{"start":41.8,"text":"Committee chair Liam Byrne said the failure to build resilience and diversify supplies of the materials away from Beijing continued to pose significant risks to the UK’s future security."}],[{"start":52.64,"text":"“Critical minerals are the alpha of the new economy. We cannot re-arm Britain, build AI or deliver net zero unless we secure the minerals these technologies depend on. Sixteen years after China first weaponised its chokehold over rare earths, Britain remains dangerously exposed,” he said."}],[{"start":70.48,"text":"China continues to process more than 80 per cent of the world’s rare earth metals alongside other materials, such as graphite and manganese, that are critical to the production of batteries used in the net zero transition."}],[{"start":null,"text":"

"}],[{"start":82.6,"text":"The report noted that concerns about China’s chokehold on rare earths rose to prominence as early as 2010 after Japan detained a Chinese trawler captain. Beijing promptly blocked supplies of some rare earths to Japan, causing a 26-fold increase in prices."}],[{"start":99.24,"text":"Beijing again cut off some rare earth metal supplies to Europe and the US last year following the start of US President Donald Trump’s trade war, bringing several auto plants to the brink of suspending production."}],[{"start":111.1,"text":"The committee called for a targeted “precision de-risking” of the UK’s critical mineral supply chains to help counter the threat of economic coercion."}],[{"start":119.32,"text":"To combat the challenges, the committee set out a five-point plan, including improving access to finance for critical mineral processing, maximising domestic mining and creating a “buyers club” among like-minded allies to share costs of building new mines and smelters that can cost £3bn each."}],[{"start":136.44,"text":"“We’re never going to eliminate Chinese minerals from our supply chains,” Byrne said. “That’s why we need a new Critical Minerals Finance Facility with the financial firepower to invest in new mines, processing plants and recycling, working with our allies to share the costs.”"}],[{"start":152.36,"text":"The UK government set out a 10-year critical minerals strategy a year ago that promised to grow domestic production and forge international partnerships in order to diversify supply chains."}],[{"start":163.2,"text":"It cited innovative new projects to boost supplies, such as research from Queen’s University Belfast to find new ways of recycling permanent magnets used in wind turbines and electric vehicles."}],[{"start":174.42,"text":"The committee’s report follows another released this week that criticised the government over its failed policymaking on how to handle the challenge of China."}],[{"start":182.64,"text":"It described the UK’s approach to the country as being characterised by “reactivity, inconsistency and opacity” and accused the government of embarking on a re-engagement with China, including several high-profile ministerial visits, “without having finalised its China audit or published a strategy”."}],[{"start":205.24,"text":""}]],"url":"https://audio.ftcn.net.cn/album/a_1793859918_4303.mp3"}