09.03.2026 19:31
As the war in the Middle East, which began with the attacks by the US and Israel on Iran, continues, an alarm has been raised in Germany regarding raw material supply. It has been reported that German industrial circles are working on a "Japanese Model" that envisions strategic cooperation between companies and the government to secure critical raw material supply chains.
It was reported that the "Japanese Model," which envisions strategic cooperation between companies and governments to secure critical raw material supply chains in German industrial circles, is being worked on.
GOVERNMENT SIGNALS "SUPPORT"
According to news in the German press, this model, which aims to reduce dependency on foreign sources in many sectors, especially automotive, defense, and electronics, is closely monitored by the Berlin government. A special working group has been formed with representatives from different industry sectors to elaborate on the issue.
The Federal Ministry for Economic Affairs and Energy of Germany announced that they generally welcome initiatives aimed at strengthening raw material supply security from the private sector. Ministry officials signaled that sustainable models that will reduce the industry's dependency on foreign sources will be supported.
COORDINATED ACTION PLAN BETWEEN SECTORS AND POLITICAL AREAS TO COMBAT RISKS
The German Association of Automobile Manufacturers (VDA) emphasized that the risks in raw material supply chains deeply affect many sectors and stated that a coordinated action plan is needed at both inter-sectoral and political levels to combat these risks. VDA noted that Japan's strategy for ensuring raw material supply security could serve as the most concrete and successful example in this regard.
German car manufacturer BMW, in a document presented to the Federal Parliament (Bundestag) last autumn, called for coordinated action between politics and the business world to demonstrate a strong presence in international markets and diversify the supply chain. The company highlighted the importance of "state assurance" against the raw material crisis.
It is stated in economic circles that the Association of Electrical and Electronics Industries (ZVEI) and defense industry company Rheinmetall are also included in this strategic preparation process.
JAPAN'S RAW MATERIAL STRATEGY
Japan made a strategic transformation with the radical reforms it implemented in its raw material policy following the trade disputes with China in 2010. The Tokyo government succeeded in minimizing dependency on foreign sources in critical raw material supply through state-supported models and technological innovation. China's halt of rare earth element (REE) exports after a diplomatic dispute in 2010 became a strategic turning point for Japan. Responding to this restriction by creating alternative supply sources and developing local technology, Japan diversified its supply chains and aimed to create strategic reserves.
In this transformation process, the Japan Organization for Metals and Energy Security (JOGMEC), a government agency, played a critical role. The organization, which provides both financial and strategic support to private companies' raw material projects, invested over $600 million in more than 100 projects worldwide between 2004 and 2020. JOGMEC opened the way for the private sector by covering up to 75% of the initial investment costs of strategic projects in particularly risky regions.
One of the most critical successes in Japan's raw material policy was the agreement made in 2011 with the Australian company Lynas. With the financial support provided by JOGMEC, Lynas rose to become the largest rare earth producer outside of China. Today, Lynas alone meets one-third of Japan's total needs in this area.