This essay examines a growing point of contestation in the Arctic: the development of critical raw materials (CRMs). China and the EU, both key players in the global energy transition, are increasingly interested in Arctic resources such as lithium, cobalt, nickel, and rare earth elements (REEs).

Today, mining and processing are concentrated in a few countries, while global supply chains face risks like resource nationalism, export restrictions, and market manipulation. The Arctic, rich in critical minerals, could help meet rising demand but poses environmental risks and requires significant investment.

Russia’s invasion of Ukraine in 2022 reshaped Arctic cooperation. Once seen as a space for regional governance, the Arctic is now increasingly influenced by global rivalries. Sanctions on Russia affect economic cooperation, including future mining projects.

This essay first explores the role of CRMs in the global energy transition. It then examines China’s investments and strategic interests in the Arctic, followed by the EU’s approach—its demand for Arctic resources and efforts to secure supply. Finally, we reflect on how the "geopoliticization" of CRMs will shape the region’s future.