Baden-Württemberg in Earth trap: dependence on rare earths threatened future!

Baden-Württemberg in Earth trap: dependence on rare earths threatened future!

In industry, everything revolves around rare earth, and in Baden-Württemberg numerous companies such as Trumpf in Ditzingen and Stöber drive technology in Pforzheim are particularly dependent on these raw materials. Rare earths are not only the heart of modern technologies, but also a hotly competitive topic in the current geopolitical situation. As Tagesschau.de , Germany receives around two thirds of its rare earth from China, where over 90 percent of worldwide processing takes place. Around 60 percent of the dismantling genes also come from the Asian country, which depends on the activities in our region and makes the supply chains susceptible to political turbulence.

The G7 summit in Canada focuses on this important topic and shows how important the industry is of rare earths for the national and global economy. Companies such as Trumpf, which produces laser technologies, have already adapted to possible delivery bottlenecks. Managing Director Hagen Zimer warns: "If resources dry up, there is a risk of production stops." In order to counteract this, Trumpf is following a so-called "two-way strategy", in which both relationships with China are cultivated and possible alternative trade routes. On the part of Stöber drive technology, the managing director Rainer Wegener believes that increased recycling of rare earths is required to drive the independence from China.

recycling: a necessary but costly process

Stöber is particularly dependent on neodymium, an important component for engines. But as Oldenburger-onlinezeitung.de , recycling of rare earth is a major challenge. With less than 3 percent, the recycling rates are low, despite the fact that recycling not only reduces environmental pollution, but could also reduce energy costs compared to primary reduction. The high costs of the recycling, especially because of the difficult separation of the rare removal, represent a obstacle. In addition, the production capacities for some elements are already at the limit.

The long way to independence

The path to a greater independence of China has been rocky and lengthy, because the dependency is also reinforced by geopolitical factors. After an incident in the South China Sea, for example, prices for rare earths increased dramatically - around five times! That is why many branches of industry are already thinking about an economical handling of these heavy metals. For example, Volkswagen introduced the use of Ferrit instead of neodymium for her electric cars.

With the plan for the conversion of Europe to electromobility and climate neutrality, the need to also improve the mechanisms to recover raw materials from old devices. The development of automated systems for disassembling devices could become a reality in one or two decades, but so far there has been no support for investors to implement these innovative ideas in practice. The EU material passport, which would oblige manufacturers to disclose information about the raw materials contained in their products, also open up new perspectives.

Overall, it is clear that rare earths are indispensable for the future of our technologies. Industry in Baden-Württemberg is well advised to rethink its strategies and to find more innovative solutions so that it does not depend on political uncertainties.