Picture the world as a huge, intricate machine—one that runs on something more than oil and gas. Today’s engine of modern life is fueled by a combination of essential raw materials: lithium for batteries, titanium for planes and medical equipment, gallium for semiconductors, and graphite for electric cars. These are not simply technical jargon—these are part of the building blocks of everything from your cellphone to the worldwide movement toward clean energy.
Ukraine is a land with buried treasure. It contains approximately 20,000 mineral deposits encompassing 116 varieties of minerals—not quite 5% of the world’s known mineral reserves. Before the Russian invasion, more than 3,000 of these areas were mined. They contain huge reserves of titanium, lithium, beryllium, manganese, gallium, uranium, zirconium, graphite, and nickel. Ukraine holds the biggest titanium deposits in Europe—some 7% of all the world’s titanium—and is one of the only nations to mine titanium ore, which is vital for the aerospace industry, through as healthcare. Its lithium reserves, approximated at about 500,000 tons, are essential for use in batteries and powering electric cars of the future. It is also a major source of gallium, essential for semiconductors and LED technology, and a historic world leader in supplying neon gas, which is relied upon by the U.S. chip industry.
But the story turned on a dime with the Russian invasion. The war not just life in Ukraine, but also affected global supply chains. Trade routes previously shipping steel, titanium, lithium, and other materials to Europe were stopped or redirected, slowing everything down and driving up prices. While at the same time, sanctions on Russia—a substantial supplier of titanium, nickel, and platinum group metals—placed even more stress on world markets. Prices for key minerals like nickel and lithium skyrocketed as a result, and the world had to learn to accept just how vulnerable such supply chains are. But the story turned on its head with the Russian invasion. Not only did the war impact life in Ukraine, but it also interfered with international supply chains. Trade channels that had been shipping steel, titanium, lithium, and other products to Europe were stopped or diverted, slowing everything down and driving prices up. At the same time, sanctions on Russia—a significant producer of titanium, nickel, and platinum group metals—put even more pressure on global markets. Prices on key minerals like nickel and lithium skyrocketed as a result, and the world was forced to confront just how exposed these supply chains are.
All this is happening in the midst of fierce competition globally. China has been establishing dominance over key materials for decades, and now accounts for as much as 90% of the mining and refining of rare earth elements, and essentially all production of rare earth magnets. The European Union relies on China for more than half of its vital raw materials. Australia, South Africa, Canada, and Brazil are also important players. But as tensions between nations mount—especially between China and the U.S.—many democracies are reconsidering their supply chains. The EU and U.S. are now rushing to diversify their sources, invest in recycling, and create new means of decreasing their reliance on nations with whom relations could be volatile.
The heat is on. As the globe turns toward electric cars and clean energy, demand for minerals such as lithium and cobalt is spiking. By 2030, Europe may have a demand for lithium alone that is 21 times greater than in 2020. Europe is not capable of producing almost as much of these materials by itself, however. That’s why Ukraine’s mineral riches are receiving so much interest. Its deposits could help Europe and its allies take more control of their supply chains, fund the shift to clean energy, and play a crucial role in Ukraine’s reconstruction and sustainable economic growth.
But that’s not all about opening up new mines. It’s also about creating long-term alliances, enhancing how we recover materials, and utilizing what we already have more efficiently. Ukraine’s entry into the European and world economy is already in progress. The European Commission has identified Ukraine as one of the main sources of titanium and a possible supplier of more than 20 of the most important raw materials. New alliances are emerging to involve Ukraine in the expanding battery supply chain, and even during the current war, Ukraine’s mining industry is receiving serious attention from investors.
In a world in which one mineral can open the door to new technologies or cleaner energy, Ukraine’s contribution isn’t merely significant—it is crucial. Its immense and largely untapped resources are not merely the key to Europe’s green ambitions, but to the creation of a more robust and harmonious world economy.