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“This is corporate greed over rule of law and sustainability”: Walter Baier on EU’s role in Serbia’s lithium exploitation

Interview with the President of the European Left Party. "The Memorandum of Understanding signed in July 2024 speaks volumes. It disregarded the will of the Serbian people," he warns, accusing the EU – "which often champions the rule of law globally" – of benefiting from "an unjust and unlawful process"

The New Union Post by The New Union Post
17 March 2025
Reading Time: 4 mins read
Walter Baier European Left Party Lithium Serbia

Brussels – It is the calmness and clear reasoning that give Walter Baier‘s words such impact. “This is a European issue. If resistance from local communities can be overturned in one part of Europe – such as Serbia with lithium exploitation – then it can happen anywhere,” warns the President of the European Left Party in an interview with The New Union Post at the Brussels office of the pan-European movement he has been leading since 2022.

As demonstrated by the voices of Serbian students – who have been protesting against the corruption of President Vučić’s regime for over four months – the lack of support from Brussels for the movement advocating the rule of law in this EU candidate country is widely seen as prioritising economic interests over core democratic values. The lithium extraction project in the Jadar River Valley is the most frequently cited example. And, for Baier, “the EU clearly bears some responsibility.”

A Memorandum that “speaks volumes”

When discussing the environmental risks of lithium extraction in the Jadar River Valley, the President of the European Left Party shares the same concerns as local activists: “The impact is well documented by numerous studies,” he notes, citing groundwater contamination, pollution of agricultural soil, the displacement of communities, and the daily consumption of 8,000 cubic metres of water. “Opposition to this project is more than justified.”

Serbia Protests EU
(credits: Federico Baccini/The New Union Post)

The valley in western Serbia is “an asset, a natural jewel” that could support “viable” economic and social alternatives to resource extraction, such as “agriculture or ecotourism,” Baier explains. Yet the sequence of events suggests that something murky is unfolding at both the national and European levels.

In 2004, geologists working for the British-Australian mining corporation Rio Tinto discovered a previously unknown mineral in the Jadar River Valley. The new silicate mineral – sodium lithium boron silicate hydroxide – was later named jadarite and certified by the Natural History Museum in London. In 2017, the Serbian government granted the multinational company permission to develop a mining project in the area.

At the end of 2021, mass protests erupted, forcing then-Prime Minister Ana Brnabić to suspend operations. On 11 July 2024, the Serbian Constitutional Court ruled that the decision to halt the mining project was unconstitutional, requiring the government to reconsider the spatial plan for the special-purpose area. Exactly one week later, the European Union signed a Memorandum of Understanding on the strategic partnership on sustainable raw materials, battery value chains and electric vehicles. “The timing of this Memorandum speaks volumes,” Baier says, condemning the way the EU intervened.

“This is a clear case of prioritising corporate greed and company profits over the rule of law, democracy, and ecological sustainability,” he adds. Between July and September, a new wave of mass protests swept through the streets of Belgrade. Yet Rio Tinto’s preliminary operations continue, backed by the Serbian government, Brussels, and Berlin. This not only exposes the “non-transparent manipulation” of democratic principles, but also reveals the stark contradiction of an EU that “often champions the rule of law globally” while benefiting from “an unjust and unlawful process.”

Walter Baier European Left Party
(Brussels, 23 May 2024)

Beyond lithium in Serbia: what is at stake for the EU

The deposit near Loznica contains around 136 million tonnes of jadarite, with high concentrations of lithium and boron. This is the largest high-quality, long-lasting lithium deposit in Europe, capable of meeting 10% of global demand. The mineral is vital for the transition to a low-carbon economy, as it is a key component in the production of electric vehicle batteries.

One of the main counter-arguments to environmental concerns is the EU’s potential dependence on third countries – such as China – for clean technologies if it refuses to exploit its own natural resources in Europe. However, Baier challenges the economic model the EU appears determined to follow. If the focus is on competitiveness and economic confrontation with other global powers, “the pressure to exploit its natural resources will be immense,” he argues. In contrast, a “cooperation-based” approach could foster an international framework for ecological transition, “acknowledging the climate crisis and the shared responsibility for preserving biodiversity.”

Walter Baier European Left Party
The President of the European Left Party, Walter Baier (Brussels, 23 May 2024)

Amid rising geopolitical tensions, it is “crucial” to fully consider the implications of the EU’s overall strategy. “Prioritising confrontation is not only perilous for global stability,” warns the President of the European Left Party, “but it is also for social well-being, people in the Global South, and ecological sustainability.”

In light of all this, is Europe’s green transition realistically achievable? “Not with the current policies,” Baier asserts. As evidenced by recent legislative proposals, the European Commission is ready for “a clear shift.” By replacing the ‘Green Deal’ with the ‘Clean Industrial Deal’ – moving from ‘Green’ to ‘Industry’ – “the focus is now on competitiveness rather than sustainability.” Furthermore, Baier warns that the Omnibus package is even more concerning, as the EU appears poised to “weak corporate accountability, scale back ecological ambitions, lower environmental standards, and even re-nationalise legislation on civil liability in cases of ecological harm.”

This shift is described by the leader of the left-wing pan-European party as “a direct consequence” of the agenda to roll back the Green Deal’s targets, “openly advocated” by the European People’s Party (EPP) and the European Conservatives and Reformists (ECR). If the Green Deal was meant to be “an ecological revolution – which, despite some progress, it never truly was” – what we are witnessing now, Baier concludes, is “an ecological counter-revolution,” his calm voice tinged with indignation.


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