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Generation Climate Europe has, in collaboration with Friends of the Earth Europe and the European Environmental Bureau (EEB), developed this factsheet to shed light on a controversial mining project in Chile for the extraction of lithium, a material central to the digital and green transitions. This factsheet is part of a broader series of case studies on contested mining projects, developed by civil society organisations part of the EU Raw Materials Coalition. These documents aim to highlight the structural issues tied to resource extraction and ensure that the voices of frontline communities are reflected in EU policies.

Lithium is one of 34 critical raw materials listed under the EU’s Critical Raw Materials Act (CRMA) and a key component of the EU’s ambition to shift away from fossil fuels. The CRMA calls for domestic targets of 10% extraction, 40% refining, and 15% recycling of strategic materials by 2030. However, the EU still relies heavily on lithium imports particularly from Chile, which holds 42% of global reserves and produces 30% of the world’s supply. Chile’s Salar de Atacama is home to one of the world’s largest lithium mining operations, led by Sociedad Química y Minera de Chile (SQM). These operations affect water-scarce regions inhabited by Indigenous communities, raising serious concerns about environmental degradation and water depletion.

As global lithium demand is projected to increase 42-fold by 2040, it is vital that the EU’s green transition does not repeat old patterns of extractivism. To ensure intergenerational justice, the right of future generations to a healthy environment and sustainable resource use, requires that today’s decisions prioritize long-term environmental justice and social sustainability. Chile’s case exemplifies the need for truly just transitions—ones that respect communities, ecosystems, and the rights of future generations alike.

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