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Europe is hunting for Central Asia’s metals. Uzbekistan wants to keep the profits inside the country

The European Union is increasing its interest in critical metals and minerals of Central Asia, viewing the region as one of the potential sources of raw materials for its digital and “green” transformation. However, more and more often the focus is not only on access to deposits, but also on creating new production chains — from geological exploration and extraction to processing and the production of high value-added goods.

According to the head of department at the Institute for Strategic and Interregional Studies under the President of the Republic of Uzbekistan (ISMI), Shakhnoza Kodirova, the EU’s interest is driven by the desire to diversify supplies of critical resources and reduce dependence on a limited circle of suppliers.

For the European economy, this is no longer just a matter of trade, but of the long-term sustainability of industry. Critical minerals are necessary for the development of digital technologies, energy, electric transport, and other areas of the “green” economy.

Against this backdrop, Central Asia is gaining new significance for Europe — not only as a source of mineral raw materials, but also as a potential platform for their deep processing and the production of high value-added goods.

The growing importance of critical mineral resources is also reflected in the political agenda. According to the expert, cooperation issues in this area are being discussed more and more actively at the “European Union — Central Asia” summits, as well as within the framework of the European Global Gateway initiative.

At the same time, political agreements are gradually moving into the realm of concrete investment projects.

Examples include investments by the German company HMS Bergbau AG in lithium exploration in Kazakhstan and an agreement between the French company Orano and the state enterprise “Navoiuran” on uranium mining in Uzbekistan.

At the same time, the European presence in the region is not limited directly to mineral extraction. Cooperation covers industrial, energy, and transport infrastructure, without which it is impossible to form full-fledged production chains.

In particular, German banks allocated 146 million euros for the project of the copper smelting plant of the Almalyk Mining and Metallurgical Combine. The European Union is also assisting in the modernization of the energy and transport infrastructure of Kyrgyzstan and Tajikistan.

For Uzbekistan, the task is to avoid remaining in this new system merely a supplier of ore and concentrates, and to gradually become a producer of goods needed by the global high-tech industry.

To this end, the country is forming a production chain covering the entire cycle — from geological exploration and extraction to processing and the production of finished goods.

At the same time, research centers and scientific research parks are being created, focused on the introduction of new technologies, the development of innovation, and a closer connection between science and industry.

In essence, this is an attempt to change the very economic logic of the raw materials sector: not just to extract resources and export them, but to maximize the value of products already within the country.

Such an approach could give Uzbekistan a more advantageous position amid growing competition for critical minerals.

If the country manages to build a full production cycle, it will be able to claim not only income from extraction, but also a larger share of the value created at subsequent stages — processing, the production of materials, components, and finished goods.

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