Germany seeks Bolivia’s lithium as project Jadar in Serbia stalls

Germany is rushing to secure the supply of lithium from Bolivia in talks with the new government, but also to enable domestic mining operations. At the same time, Rio Tinto’s controversial project Jadar in Serbia seems dormant despite nominal support from Brussels and Berlin.

In a statement before his arrival in Bolivia, Germany’s Federal Minister of Foreign Affairs Johann Wadephul didn’t mince words.

“Our potential for cooperation is significant. Bolivia is rich in raw materials, especially lithium, which is indispensable for our energy transition, for electric mobility and for many other sectors in Germany. Bolivia also offers impressive opportunities regarding rare earth elements,” he pointed out.

First in line to speak to Bolivia’s new head of state about lithium

Wadephul noted that he is meeting the Bolivian government under President Rodrigo Paz Pereira on his third day in office “and the first real day of work.” The top German diplomat is inviting the Latin American country to join the upcoming agreement between the European Union and the Southern Common Market (Mercosur).

The race for lithium and rare earths is intensifying amid China’s dominance and the tariff wars that United States President Donald Trump’s administration is pursuing.

In Wadephul’s view, Bolivians want a way out of the ongoing economic crisis. “President Paz has announced plans to open Bolivia to the world. Bolivia has our full support in this,” he added.

Bolivia holds the world’s largest lithium reserves. Before Paz came to power, left-wing governments limited access to foreign miners for two decades.

Rio Tinto’s investment in Serbia slows down amid political turmoil

Germany has signaled that it would use its raw materials fund for support to domestic lithium mining projects that are under review. Notably, there are also investments in the extraction of the alkali metal from underground and geothermal waters, which means without excavation.

The foreign policy chief is in Bolivia at a time when Rio Tinto’s lithium mining project Jadar in western Serbia seems dormant, despite winning a strategic investment status from the European Union five months ago.

Germany was earlier very interested in the endeavor. Former Chancellor Olaf Scholz attended the signing of a memorandum of understanding in July 2024 between the EU and Serbia for a strategic partnership in sustainable raw materials, battery value chains and electric vehicles,

Serbia expects the environmental impact assessment for project Jadar to be completed in a year and a half

Speaker of the National Assembly of Serbia Ana Brnabić recently said the environmental impact assessment for project Jadar would “probably” be completed in 18 months. The next step would be to decide whether to go ahead with it.

Importantly, Serbia is in political turmoil for a whole year now.

Lithium ion batteries are necessary for electric cars, smartphones and laptops, as well as for solar and wind power plants. The demand is steadily growing.

Balkan Green Energy News has published a chronological overview of the key events in the development of the Jadar project since 2001, when Rio Tinto arrived in Serbia.

Rare earths are found in consumer goods such as smartphones and television screens, as well as in electric car engines, semiconductors and turbines.