Germany to deal direct with Australia on critical minerals, in bid to diversify away from China
Germany will look at importing critical minerals, specifically lithium, directly from Australia after it was caught out by the Russian invasion of Ukraine.
In comments on her first visit to Australia, German Foreign Minister Annalena Baerbock told the ABC her nation had overhauled its approach to China, in order to avoid relying too heavily on it for imports.
The shift in policy means Germany will prioritise dealing directly with democratic nations, such as Australia, on critical minerals exports.
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By continuing you agree to our Terms and Privacy Policy.Ms Baerbock said the “smartest thing” would be to buy lithium directly from Australia.
“(China has) made it very clear in their speeches, and then their foreign policy, that they are also challenging democracies worldwide,” Ms Baerbock said.
“Lithium comes from Australia then it’s being exported to China, processed there, and then we import it again.
“The smartest thing, not only for diversification, but also strengthening ties between democracies, and free markets, would be if we could import the lithium directly from Australia.”
Ms Baerbock said the policy shift stemmed from acknowledging that Germany had previously underestimated threats, including Russia.
“You shouldn’t repeat mistakes twice,” Ms Baerbock said.
“We Germans were so dependent on Russia for gas and oil (that) Russia calculated in the case of invasion, we couldn’t react.
“Our friends and partners, especially in Eastern Europe, they warned us, saying … this is a strategic instrument of dependency, and then also a preparation for the invasion of the war in Ukraine.
Ms Baerbock said while Germany had developed a detailed policy on China, the European nation would still maintain a strong trade relationship with Beijing.
“(Germany’s) China strategy is especially based on diversification,” she said.
“We are not looking for decoupling, but we do not want to repeat our mistake twice that we are so dependent, that we cannot do our foreign policy.”
Ms Baerbock was visiting Australia to return cultural artefacts from the Kaurna people, the traditional owners of the region around Adelaide.
