Global energy and industrial sectors depend heavily on rare earth elements (REEs), a group of 17 metals essential for everything from electric-vehicle batteries and smartphones to wind turbines and catalytic converters. Although REEs usually appear only in small quantities—often as trace elements bound with similar minerals—they are not truly rare; some, like cerium, are more abundant than lead. Yet only about 1% of these elements is recycled globally due to the difficulty of separating them, their low concentrations in products, and the energy-intensive and hazardous recycling methods currently in use.

Critical materials such as aluminum and cobalt, by contrast, have far higher recycling rates—often approaching 100%. Aluminum scrap has now emerged as one of Europe’s most valuable critical raw materials, as the European Union intensifies efforts to keep more recyclable resources within the continent. According to EU trade commissioner Maroš Šefčovič, more than one million metric tons of aluminum scrap leave Europe each year as exports—an amount the bloc sees as far too high. Europe is a net exporter of aluminum scrap, with shipments reaching a record 1.26 million tons in 2024.

Rising US tariffs on primary aluminum have driven a surge in European scrap exports to the United States. A large share—up to 65%—also goes to Asian markets, including China, India, and Turkey, while other volumes flow to OECD countries outside the EU. Although President Donald Trump doubled tariffs on primary and semi-fabricated aluminum to 50% in June, aluminum scrap remains exempt. Still, the trend predates Trump’s second administration: consultancy Project Blue estimates that European scrap exports to non-EU destinations have grown by nearly 9% annually from 2018 to 2024.

The EU has set a target for recycled materials to supply 25% of the bloc’s total critical-metal needs by 2030. Europe requires much more recycled aluminum because its recovery uses only 5% of the energy needed to produce primary aluminum. With soaring energy costs having forced many primary smelters in Europe to shut down, the rise in scrap exports is worsening the continent’s raw-material shortage. European leaders now fear they may not meet the 2030 target, with the European Aluminium Association estimating that around 15% of the region’s recycling-furnace capacity is currently idle due to a lack of feedstock.

Not all aluminum scrap is equally valuable. High-purity scrap, such as used beverage cans, is in particularly high demand in Europe—one reason the aluminum industry is pushing for an immediate export ban on this category. Europe recycles around 75% of aluminum drink cans, compared with just 43% in the United States. By contrast, mixed-grade scrap such as “Zorba” and “Twitch,” typically recovered from end-of-life vehicles, is far harder and more expensive to process, and the EU is more willing to export it.

Recycling Potential

The potential for recycling critical minerals and REEs is enormous. Earlier studies show that improving collection systems for batteries, lamps, and magnets could raise REE recycling rates from today’s 1% to between 20% and 40%. That would equal roughly 5% of global mined REE output—around half of the United States’ annual production. Even more could be achieved. Simon Jowitt, assistant professor of geoscience at the University of Nevada, Las Vegas, told ArsTechnica that recycling rates could exceed 40% if technologies such as electric-vehicle systems are widely adopted.

Still, recycling large amounts of REEs is no simple task. Many electronics destined for recycling contain only small or uneven quantities of REEs, making recovery costly and inefficient. In many cases, manufacturers do not oversee recycling processes directly, leaving them unaware of the precise materials embedded in their own products.

Here, the US rare-earth industry could learn from Europe.

Under the EU’s Waste Electrical and Electronic Equipment (WEEE) directive, manufacturers must finance or carry out recycling of their own devices. Retailers must provide free collection services for e-waste, with clear rules for sellers and consumers. Vendors of new appliances are required to offer free “take-back” of similar old items, and large retailers must accept small electronics for recycling without requiring any purchase. These policies form part of a broader framework aimed at responsible disposal, reuse, and recycling of electronic devices.

Ultimately, success may depend on political will—or the lack of it.

Permitting procedures in the United States are notoriously long, often stretching up to three decades, compared with just two years in countries like Australia and Canada. The complex layers of local, state, and federal regulations also pose major obstacles for US mining companies, especially compared with their Chinese competitors.

Oil prices were little changed on Thursday as traders weighed peace-related discussions over the war in Ukraine against the impact of Western sanctions on Russian supply, with overall activity expected to remain muted due to the US Thanksgiving holiday.

Brent crude futures inched up 5 cents, or 0.1%, to 63.18 dollars a barrel by 14:12 GMT, while US West Texas Intermediate gained 18 cents, or 0.3%, to 58.83 dollars.

Russian President Vladimir Putin said Thursday that the outlines of the US–Ukrainian draft peace proposal could form a basis for future agreements to end the conflict. He added that fighting would stop once Ukrainian forces withdraw from key areas under their control, but stressed that if this does not happen, Russia would achieve its objectives by force.

US and Ukrainian officials are working to narrow differences over President Donald Trump’s plan to end Europe’s deadliest conflict since World War II, with Kyiv wary of pressure to accept a deal largely aligned with Russia’s conditions, including territorial concessions.

Barclays wrote in a note: “Geopolitical volatility persists, and hopes for a possible Russia–Ukraine ceasefire have tempered supply concerns stemming from new US sanctions on major Russian producers.”

Meanwhile, OPEC and its allies are expected to leave oil output levels unchanged at their meetings on Sunday and agree on a mechanism to assess members’ maximum production capacity, according to two delegates and a source familiar with the OPEC+ talks.

The eight OPEC+ countries that had been gradually raising output in 2025 are also likely to maintain their pause on increases through the first quarter of 2026, the delegates said.

Oil’s downside was limited by rising expectations of a Federal Reserve rate cut in December, as lower interest rates typically boost economic activity and support oil demand.

“We’re heading into year-end with thinner liquidity and no fresh catalysts — unless the Fed surprises markets with a hawkish signal at the December 10 FOMC meeting,” said Kelvin Wong, senior market analyst at OANDA.

He added: “WTI will likely stay range-bound between 56.80 and 60.40 dollars through year-end.”

Bitcoin climbed on Thursday, reclaiming levels above 91,000 dollars as expectations mounted for a Federal Reserve rate cut, triggering a fresh wave of investor interest.

After dropping toward 80,000 dollars last Friday — its lowest since April — the world’s largest cryptocurrency reversed course and traded 5.1% higher at 91,527.5 dollars by 06:19 a.m. ET (11:19 GMT).

Traders now assign roughly an 85% probability to a quarter-point rate cut, a sharp jump from 44% a week earlier. Lower interest rates typically support “risk assets” such as Bitcoin by boosting liquidity and encouraging demand for higher-yielding alternatives.

Still, pockets of caution remain. Inflation in the US is still elevated, and broader economic data has been mixed, raising questions over how quickly the Fed can move — and whether Bitcoin’s rebound is a short-term correction or the start of a more durable upswing.

Among optimists, the potential appointment of Kevin Hassett as the next Fed Chair — seen by some as inclined toward looser monetary policy — adds further momentum to the bullish outlook for Bitcoin and other risk-sensitive assets.

Naver Financial to acquire Upbit operator in a 10 billion dollar deal

Naver Financial, the payments arm of South Korea’s tech giant Naver Corp., agreed to acquire Dunamu, the operator of the major cryptocurrency exchange Upbit, in a transaction valued at around 10 billion dollars.

The deal will be executed through a share swap that will make Dunamu a wholly owned subsidiary of Naver Financial.

The companies said the merger will combine Naver’s large digital payments ecosystem with Upbit’s dominant position in South Korea’s crypto-trading market.

It marks one of the largest fintech and digital-asset M&A deals in the country to date, positioning Naver to expand into blockchain-based financial services once regulatory approvals are secured.

Crypto prices today: altcoins advance

Most altcoins gained on Thursday, following Bitcoin’s rise amid improving risk appetite.

Ethereum, the world’s second-largest cryptocurrency, rose 3.9% to 3,029.29 dollars.

XRP, the third-largest, added 0.8% to 2.1874 dollars.

The US dollar headed for its biggest weekly decline in four months on Thursday, as investors increased their bets on further monetary easing amid growing pressure from President Donald Trump for the Federal Reserve to cut interest rates.

The Japanese yen rose 0.11% to 156.27 per dollar, supported by a more hawkish tone from several Bank of Japan officials.

With US markets closed for the Thanksgiving holiday, thin liquidity amplified intraday price swings.

Francesco Pesole, FX strategist at ING, said: “This may be an attractive environment for Japanese authorities to intervene in USD/JPY.”

He added that any action may still be more likely after weak US data, noting that the pair’s recent pullback may have reduced the sense of urgency.

Rate-cut expectations weigh on the dollar

The US Dollar Index edged up 0.1% to 99.65, but remains on track for its biggest weekly drop since July, down 0.54% so far this week after falling from a six-month high set last week.

Mark Haefele, chief investment officer of UBS Global Wealth Management, urged investors to reconsider their currency allocations given the dollar’s fading appeal, recommending the euro and the Australian dollar instead.

Investors also said the potential appointment of White House economic adviser Kevin Hassett — a strong advocate of lower rates — as the next Fed Chair could be a negative catalyst for the dollar.

Views on the dollar’s outlook remain divided.

Thanos Vamvakidis, global head of FX strategy at Barclays, said Europe had clearly benefited in recent months from interest-rate differentials and stronger growth expectations compared with the US.

“But some of those assumptions are now being questioned,” he added. “Higher euro funding costs are one factor, but the strength and resilience of the US economy is another.”

Euro and Swiss franc react to Ukraine peace talks

The euro slipped 0.13% to 1.1581$, after touching a one-and-a-half-week high of 1.1613$ earlier in the session.

Markets are watching diplomatic efforts around a potential peace agreement in Ukraine, which could support the single currency.

US envoy Steve Witkoff is expected to travel to Moscow next week for talks with Russian officials, though a senior Russian diplomat said Wednesday that Moscow will not offer major concessions.

Any progress toward a deal could weigh on the Swiss franc — a traditional geopolitical safe haven — though analysts note there is still little evidence of a clear “peace dividend.”

The dollar hit a one-week low against the franc at 0.8028 before recovering 0.20% to 0.8060.

Australian and New Zealand dollars climb

The New Zealand dollar jumped to a three-week high of 0.5728$, gaining nearly 2% since the Reserve Bank of New Zealand adopted a more hawkish tone yesterday.

Although the RBNZ cut rates on Wednesday, it signaled that a pause had been considered and suggested the easing cycle has ended. Strong data on Thursday further boosted expectations of future hikes, with markets pricing an increase by December 2026.

This stands in stark contrast to the more than 90 basis points of Fed cuts currently priced in for the US over the next year.

The Australian dollar also advanced after stronger-than-expected inflation data on Wednesday reinforced expectations that Australia’s easing cycle has likewise ended.

Australian 3- and 10-year bond yields — at 3.86% and 4.5% respectively — are the highest among G10 economies, making the currency appear “cheap,” according to analysts.

The Australian dollar last traded at 0.6536$, sitting near the midpoint of the range it has held for roughly 18 months.

Meanwhile, steady yuan-fixing operations by the People’s Bank of China helped keep the Chinese yuan stable at 7.08 per dollar on Thursday.