Capital in the Twenty-First Century: Who Owns the Capital of Firms Producing Critical Raw Materials?

This paper analyses who controls the capital of global listed companies involved in the mining of critical raw materials (CRM). While the very high geographical concentration of resources is well documented, the ownership interests in extractive companies is less so. Yet documenting the sources of control of mining companies is essential for assessing strategic dependencies. We contribute to fill this gap by developing a detailed database documenting the origins and characteristics of shareholders of global listed companies involved in the mining of cobalt, copper, lithium, nickel and rare earths. We designed several indicators for the sake of robustness, including production- and market capitalization-weighted holding rates, complemented by indicators focusing on majority holdings thresholds. In fact, holding shares above a certain threshold allows investors to exert a strong influence on the decisions of their executive boards. We highlight the discrepancy that can prevail between the geographical distribution of production and that of investors. We also document the preponderance of strategic investors like state-owned enterprises in the ownership of CRM firms. All indicators suggest that non-EU investors control a significant share of the capital of the leading CRM mining companies. Our results underpin the need to enhance the EU s strategic autonomy and suggest a need for a metal-specific strategy.