NATO’s Energy and Security Challenges: Critical Minerals for the Energy Transition
18 March 2024
Author: EIES & SAFE
As Allies grapple with critical minerals supply chain challenges, assessing criticality of minerals, and working towards a common position on stockpiling while enhancing critical minerals production investments are key aspects for NATO’s consideration.
On 21 February 2024, SAFE’s Center for Critical Minerals Strategy, the European Initiative for Energy Security (EIES), and NATO’s Innovation, Hybrid, and Cyber Division convened a group of subject matter experts and industry players along critical raw material (CRM) supply chains. The goal of the discussion was to assess and address risks posed by strategic dependence on China for the CRMs and the clean technology required to meet NATO’s climate goals, ensure its military effectiveness, and maintain a credible defence and deterrence posture.
Expert industry and government attendees navigated an array of topical CRM issues. The need for a baseline assessment of which minerals are critical and strategic for NATO, heavily informed by NATO Allies’ lists and methodologies, was clear. The baseline could be applied to simulations and exercises to better inform governments of and prepare for the CRM supply challenges ahead. In the face of a complex, dynamic, and manipulated CRM marketplace, the potential benefits of a NATO coordinating role were apparent. In addition, there are opportunities for NATO to focus on specific CRMs, depending on their applications and the challenges they face. Finally, discussants weighed in on the ongoing stockpiling as a solution debate, where NATO could also play a role in aggregating bespoke military demand. In this paper, we dive into these takeaways, providing additional analysis and identifying actions NATO can consider.