The European Union is ramping up efforts to boost its green tech industry and reduce its reliance on raw materials from China through two new plans proposed by the European Commission on Thursday.

The EU's executive branch announced the Critical Raw Materials Act and Net Zero Industry Act, which together aim to cut red tape for the bloc's green tech industry and ensure a secure supply of the raw materials it desperately needs to ensure the rapid growth required for Europe to meet its climate goals.

The World Bank estimates that the demand for raw materials will rise by 500 percent by 2050.

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This was exemplified by comments by EU Trade Commissioner, Valdis Drombovskis, who said that for the bloc to reach the "desired level of wind turbine production, demand for rare earth metals is expected to be five to six times higher by 2030 and six or seven times higher by 2050."

He added: "Take electric vehicle batteries - demand for lithium is expected to be 12 times higher by 2030 and 21 times higher by 2050.”

The Critical Raw Materials Act aims to diversify the EU's sources of raw materials and rare earths. China provides 100 percent of the EU's supply of heavy rare earth elements (REE), Türkiye provides 99 percent of the EU's supply of boron, and South Africa 71 percent of the EU's needs for platinum.

The EU's Internal Market Commissioner, Thierry Breton, said this kind of concentrated reliance spurred the bloc to take action.

According to Breton: "Ninety seven percent of our magnesium comes from China. Permanent magnets, which are very important for computers and wind turbines; 90 percent of them come from China. When that level is over 90 percent for two of these strategic materials, we have to act."

Meanwhile, the Net Zero Industry Act, announced in part as a response to the US Inflation Reduction Act, aims to ensure that 40 percent of the products needed for net-zero technologies be produced in the EU.

The Commission also proposed easing the permit process for green projects. For example, streamlining the process could accelerate Sweden's ability to start extracting from Europe's largest known rare earth depository, discovered in January.

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