Industrial partnership between the EU and Norway: New battery raw materials agreement signed

The Kingdom of Norway has important raw materials such as lithium, cobalt and graphite, which play a key role in the production of batteries. The country also has the capacity to process these raw materials. As a result, the battery sector has developed strongly there in recent years and many companies have emerged along the entire value chain. Cooperation with Norway has become increasingly interesting.

In April last year, the EU and Norway therefore concluded the so-called Green Alliance, an agreement that includes many climate protection measures. This alliance has now resulted in the Memorandum of Understanding on the Strategic Partnership for Raw Materials and Battery Value Chains, which was signed on March 21, 2024 by Maroš Šefčovič from the EU and Jan Christian Vestre, Minister of Trade and Industry of the Kingdom of Norway.

What does the Memorandum of Understanding contain?

The areas of the declaration of intent focus on five aspects for close cooperation, but only refer to raw materials extracted on land. Joint investment projects are to be facilitated, e.g. through joint ventures, and thus lead to an integration of the value chains for raw materials and batteries. In addition, financial and investment instruments are to be mobilized to facilitate projects, particularly through InvestEU, the European Battery Alliance and the European Raw Materials Alliance.

There should also be closer cooperation in the area of research and innovation (R&I) in order to achieve a potential takeover and implementation of the resulting findings by industry. Furthermore, the necessary skills are to be developed in order to create high-quality jobs in the raw materials and battery industry. Finally, the application of high environmental, governance and social standards and practices will be facilitated through consultation and information exchange on appropriate strategies and initiatives along the entire value chains, including recycling and waste management.

The importance of the agreement

The strategic partnership takes cooperation between the EU and Norway to a new level. Due to the geographical proximity, trade routes are short and trade disruptions can be prevented. In the area of transport in particular, there needs to be an increase in e-mobility and a stable value chain for batteries is extremely helpful for this.

Both sides are now working together with stakeholders to implement the plans: the first activity planned following the signing of the agreement was a matchmaking event for companies at the Hannover Messe trade fair at the end of April. Beyond this, a number of research opportunities and new business relationships are expected to pave the way for a sustainable raw materials and battery value chain.

Sources: electrive.net, Sebastian Schaal, 25.03.2024
elektronikpraxis.de, Susanne Braun, 26.03.2024

Image: Mark König on Unsplash