Netherlands very dependent on China for critical raw materials

The Dutch economy is heavily dependent on essential raw materials that are primarily processed in China, according to research by Statistics Netherlands (CBS). The statistics agency concludes that the materials that pose the greatest risk to the Netherlands, should they become unavailable, are largely from China.

A case in point is gallium - a metal of vital importance to the Dutch economy, as it serves as a foundation for the chip industry. According to CBS, China processes 99 percent of the global output of this material, and it is frequently used as a tool for political leverage.

Furthermore, global demand for gallium is surging, driven by the need for high-performance chips in technologies like artificial intelligence and electric vehicles.

The Netherlands also gets 84 percent of its rare metals from China, as well as 74 percent of its germanium, 94 percent of its graphite, 74 percent of its lithium, 76 percent of its cobalt, and 79 percent of its silicon metal.

Last year, critical materials accounted for nearly a third of the total value of Dutch imports from outside the EU. The Netherlands imported over €17 billion’s worth of these raw materials, in addition to nearly €124 billion’s worth of products containing them.