Lithium mining in Serbia, Argentina and Chile

Between current geopolitics and local problems

The production of lithium-ion batteries for e-mobility is growing steadily. In the long term, the aim is to reduce CO2 emissions in the fight against climate change. The downsides of lithium mining, on which e-mobility is currently based, have long been recognised: The extraction of this coveted raw material often leads to conflicts over land and water, including indigenous communities. While the extracting countries carry the environmental and social costs, the creation of value often takes place elsewhere.

The global competition for lithium is on and governments in extracting countries are hoping to make a profit. The EU is also trying to secure the coveted raw material through agreements. These exist with countries in the so-called ‘lithium triangle’, Argentina and Chile, where around 70% of the world's deposits are located. There are also agreements with EU's neighbouring countries, as the EU has a great interest in harnessing lithium deposits on its own continent. The most recent case is Serbia, which also amass a great deal of lithium deposits. The EU Commission has signed a memorandum of understanding with the Serbian government on sustainable lithium mining. However, Serbian civil society is opposing the deal and protesting against the threat of environmental damage and groundwater pollution. Intimidation and death threats have also come to light as a consequence. A list of projects that the EU categorises as strategic under the Critical Raw Materials Act and whose implementation it would like to support is due to be published in December. Lithium projects from these countries may also be included in this list.

As part of the alternative raw materials week from 7 to 14 October 2024, we discussed the following questions:

- Which impact does the global competition for lithium have on the mining countries Chile, Argentina and Serbia? Which opportunities, such as the development of local value creation, are being realised and which strategies are being developed for this purpose?
- To what extent differ the demands, reactions and repressions from country to country?
- Which strategy is the EU pursuing with regard to the global run on raw materials and how could Europe become less dependent on lithium as a raw material?
- What role do and could the project financiers play here?

We discussed these and further aspects with:
- Pia Marchegiani, Fundación Ambiente y Recursos Naturales, FARN (Argentina)
- Telye Yurisch Toledo, Fundación Terram, (Chile)
- Aleksandar Matković (Serbia)

Moderation: Johanna Sydow, Head of the division of International Environmental Policy, Heinrich Böll Foundation, Berlin

In cooperation with Bread for the World.