Germany and the United Kingdom are set to formalise a strategic agreement on rare earth minerals at a German-British economic forum in Berlin, as the two countries build on the framework established by the Kensington Agreement signed in July 2025 to deepen post-Brexit cooperation across defence, security and the economy.
British Business Secretary Peter Kyle and German Economy Minister Katherina Reiche are due to sign the agreement, which the two ministers described in a joint statement as covering “collaboration across the entirety of the critical raw materials landscape.” The signing marks a concrete step in translating the Kensington Agreement’s broad ambitions into sector-specific industrial policy.
Kyle, speaking to dpa ahead of the Berlin visit, framed critical minerals as central to both economic security and the growth sectors of the future. “Critical minerals underpin much of the economic security that we need,” he said, pointing to technology, medical equipment and other high-value industries as directly dependent on secure mineral supply. He acknowledged that while both Germany and the UK produce some rare earth minerals domestically, European output cannot match China’s scale — making coordinated action between allied nations essential. “By working together we can be compatible, and we can be strategic, and we can lay the foundations for long-term resilience,” he said, describing the bilateral relationship as “very instinctive.”
The agreement builds on a period of intensified European engagement with the critical minerals challenge. The EU and the US signed a Critical Minerals Memorandum of Understanding and Action Plan last week. Germany also signed a separate strategic partnership with Brazil focused on rare earth supply earlier this month. The UK has bilateral minerals cooperation agreements with countries including Kazakhstan, Australia and Canada.
Alongside the minerals agreement, the two countries announced plans to cooperate on artificial intelligence. The UK is joining the EU’s AI Champions initiative, and Kyle argued that Europe’s failure to produce a trillion-dollar technology company underscored the need for cross-border collaboration. “That spark has got to come from like-minded countries that share a sense of ambition,” he said.
