EU's Critical Raw Material dependence, Innovation and International Relations

Abstract

This master thesis explored quantitatively the relationship between technology and international relations by focusing on EU’s strategic dependence of Critical Raw Materials and highlighting the role of geography in this relationship. Technology has been playing a major role international affairs for year, initially through warfare interests, later on also for economic interests. Today, technology and international affairs are increasingly interacting due to the growing importance of technology for national security, rising protectionism and geographic concentration of industrial development. Therefore, the goal of this research was to explore the growing interconnected relationship between technology and international relations, with particular emphasis on the geographical aspects.

This thesis specifically examines EU’s dependence on raw materials. The EU have been exposed to their vulnerability for foreign dependencies during the COVID pandemic and curtailment of Russian gas, fueling the rise of the Open Strategic Autonomy policy. Strategic autonomy means that Europe is able to operate autonomously without being heavily dependent on non-EU states, particularly concerning EU’s Critical Raw Materials (CRMs), due to its large dependence on non-EU countries.

The first part examines the magnitude of EU’s strategic CRM dependence in relation to various types of interactions between the EU and the countries supplying CRMs to the EU. The hypotheses for this part are based on a technological determinism perspective, meaning that it is expected that interactions between the EU and the particular are influenced by the magnitude of strategic CRM dependence. In addition, the second part takes the sum of interactions between the EU and non-EU countries that supply the same CRM, which is put against the number of patents and publications related to that specific CRM. This time, a social constructivism perspective is applied, hypothesizing that innovation is also affected by international relations.

Eventually, the results allowed to accept all hypotheses formulated. Thus the magnitude of strategic CRM dependence influences the international relationship between the EU and the countries supplying CRMs to Europe. In addition, the second part had significant results international relations with countries on which the EU has a strategic CRM dependence, influences the innovation rate in the EU. Therefore, it is proven that there is a reciprocal relationship between technology and international relations

Ultimately, this research shows that more attention is needed to fully understand the new dynamics among international relations, technology and geography that is going to shape future international politics and the distribution of global economic power.