Sweden to boost mining sector to cut dependence on China despite Sami opposition

Sweden has eased the permit process for new mines as it seeks to counter its reliance on China. The issue is a source of tension with the indigenous Sami reindeer-herding people, who say expansion of mining will cut off migration routes they have followed for thousands of years.

Ebba Busch, Sweden’s Enterprise Minister and Deputy Prime Minister, said mining had been declared a national security interest on Thursday. 

The move marks a shift away from dependence on China for mineral resources. 

China dominates both mining and refining of rare earth minerals essential for clean energy generation, defence and electric vehicle production, and export controls have served Beijing as a powerful lever in its trade war with Washington and other disputes.

Sweden's new strategy, which will speed up planning and permissions for mines, would “strengthen” the country’s competitiveness and independence, she said on X.

Speaking at a press conference, Busch added that she believed the changes to rules would allow the country to “contribute significantly to both Sweden’s, [the] EU’s and NATO’s defence capabilities,” calling European industry’s dependence on China a “systemic risk.”

Vast mineral resources at home

Sweden has large mineral resources and the Per Geijer deposit near Kiruna in the north of the country, discovered by Sweden’s state-owned mining company LKAB in 2023, is Europe’s largest known find of rare-earth elements. 

With 1.2 billion tons of total mineral resources, of which 2.2 million tons are rare earth oxides, Per Geijer is critical to Europe's interests.

Ebba Busch added that the Swedish government was looking at the possibility of creating a state-owned investment company for the Swedish mining sector.

"Today, to put it plainly, the government lacks concrete tools to wisely contribute to accelerating and attracting investments in key projects in crucial strategic projects," she said.

Sami migration objections

People from Sweden’s nomadic indigenous Sami group have warned that the establishment of a mine at Per Geijer could entirely cut off Reindeer migration routes used by the Sami village of Gabna, located 200 kilometres above the Arctic Circle.

The disconnection of migration routes would effectively end the way of life they have followed for thousands of years, Sami representatives say. 

Read more from Sweden:

• Sweden to buy four French frigates in $4.25bn boost to Baltic defence
• Sweden breached healthcare rights of vulnerable EU migrants, committee rules
• Sweden drops plan to lower criminal responsibility age to 13, proposes 14 instead

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