Germany and UK sign rare earth cooperation agreement to reduce reliance on Chinese raw materials
Germany and the UK announced on the 27th the signing of an agreement to jointly develop rare earths and establish strategic reserves, while also expanding cooperation in artificial intelligence, aiming to reduce their reliance on Chinese raw materials. This initiative follows increased European awareness of critical material supply risks due to China's export restrictions during last year's US-China tariff war. Germany is also diversifying its rare earth sources through agreements with Italy and Brazil, though structural limitations from Brexit remain a challenge for UK-German collaboration.
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- 📰 Published: April 28, 2026 at 19:39
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Central News Agency (CNA) reporter Lin Shang-Ying (林尚縈) reported from Berlin on the 28th. Germany and the UK announced on the 27th the signing of an agreement to jointly develop rare earths and establish strategic reserves, and simultaneously expand cooperation in the field of artificial intelligence, with the aim of reducing their reliance on Chinese raw materials.
German Economy Minister Katherina Reiche and UK Secretary of State for Business and Trade Peter Kyle signed multiple agreements, including AI cooperation and rare earth supply assurance, at the Germany-UK Business Forum 2026 held in Berlin on Monday.
During last year's US-China tariff war, Beijing imposed export restrictions on certain rare earth elements and magnet products, making Europe aware of the high risk of dependence on China for critical raw materials.
Kyle, in an interview with dpa (German Press Agency), stated that rare earths are indispensable materials for chip manufacturing and are closely related to the development of artificial intelligence. The UK will join the European AI industry cooperation plan, working with large enterprises and startups to promote technological development and enhance Europe's competitiveness in global technology.
Rare earths are essential raw materials for AI chips and manufacturing equipment. According to the agreement, Germany and the UK will collaborate on rare earth resource exploration, supply chain coordination, and reserve mechanisms, and formulate concrete action plans to enhance long-term supply security.
According to dpa, Reiche stated at the meeting that the cooperation model could be extended to other like-minded countries in the future to establish broader raw material partnerships. Besides the UK, Germany signed rare earth supply chain cooperation agreements with Italy and Brazil in January and April this year, respectively, to diversify rare earth sources and reduce risks.
H Handelsblatt analyzed that rare earths have transformed from traditional industrial raw materials into strategically important geopolitical assets. Germany is strengthening international rare earth cooperation, but structural limitations between Germany and the UK still exist.
The British Chamber of Commerce in Germany (BCCG) told Handelsblatt that institutional barriers following Brexit, including customs procedures, differences in product standards, and labor mobility, continue to have a substantial impact on business operations.
Reiche believes that neither local sourcing nor domestic production is the right way to solve the rare earth shortage problem, calling on the UK to maintain close cooperation with the EU. After the UK left the EU in 2020, it is no longer under the same cooperation framework and new cooperation mechanisms must be established.
In July 2025, Germany and the UK signed the Kensington Treaty (also known as the German-British Treaty of Friendship), covering multiple areas such as defense, economy, technology, and culture, to reduce institutional barriers arising from Brexit. The multiple economic cooperation agreements signed at this Germany-UK Business Forum are based on that treaty. (Edited by Chen Cheng-Kung) 1150428
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German Economy Minister Katherina Reiche and UK Secretary of State for Business and Trade Peter Kyle signed multiple agreements, including AI cooperation and rare earth supply assurance, at the Germany-UK Business Forum 2026 held in Berlin on Monday.
During last year's US-China tariff war, Beijing imposed export restrictions on certain rare earth elements and magnet products, making Europe aware of the high risk of dependence on China for critical raw materials.
Kyle, in an interview with dpa (German Press Agency), stated that rare earths are indispensable materials for chip manufacturing and are closely related to the development of artificial intelligence. The UK will join the European AI industry cooperation plan, working with large enterprises and startups to promote technological development and enhance Europe's competitiveness in global technology.
Rare earths are essential raw materials for AI chips and manufacturing equipment. According to the agreement, Germany and the UK will collaborate on rare earth resource exploration, supply chain coordination, and reserve mechanisms, and formulate concrete action plans to enhance long-term supply security.
According to dpa, Reiche stated at the meeting that the cooperation model could be extended to other like-minded countries in the future to establish broader raw material partnerships. Besides the UK, Germany signed rare earth supply chain cooperation agreements with Italy and Brazil in January and April this year, respectively, to diversify rare earth sources and reduce risks.
H Handelsblatt analyzed that rare earths have transformed from traditional industrial raw materials into strategically important geopolitical assets. Germany is strengthening international rare earth cooperation, but structural limitations between Germany and the UK still exist.
The British Chamber of Commerce in Germany (BCCG) told Handelsblatt that institutional barriers following Brexit, including customs procedures, differences in product standards, and labor mobility, continue to have a substantial impact on business operations.
Reiche believes that neither local sourcing nor domestic production is the right way to solve the rare earth shortage problem, calling on the UK to maintain close cooperation with the EU. After the UK left the EU in 2020, it is no longer under the same cooperation framework and new cooperation mechanisms must be established.
In July 2025, Germany and the UK signed the Kensington Treaty (also known as the German-British Treaty of Friendship), covering multiple areas such as defense, economy, technology, and culture, to reduce institutional barriers arising from Brexit. The multiple economic cooperation agreements signed at this Germany-UK Business Forum are based on that treaty. (Edited by Chen Cheng-Kung) 1150428
Choosing to stand with the facts, every sponsorship you provide is a force for protecting press freedom.
Download the Central News Agency's "First-hand News" APP to stay updated with the latest news.
The text, images, and videos on this website may not be reproduced, publicly broadcast, or publicly transmitted and used without authorization.