Belgium eyes tech transfer over rare earths from Malaysia, not just raw exports

KUALA LUMPUR, July 2 — Belgium seeks to strengthen rare earth mineral ties with Malaysia in its bid to reduce reliance on China, the kingdom’s deputy prime minister Maxime Prévot said today.

However, Prévot stressed that Belgium wants to strengthen technology transfer with Malaysia in the critical mineral sector rather than merely increasing exports of resources. 

He said Malaysia could benefit from the expertise of Belgian companies like Solvay and Umicore to efficiently extract different elements within the rare earth supply chain.  

“We do not intend to import products coming from the critical minerals in Malaysia because according to the discussion I have had with the authorities, they would like to avoid to export such critical materials,” Prévot told Malay Mail in an exclusive interview after attending the 39th Asia-Pacific Roundtable today. 

“So, I think that there exists a room for cooperation between the expertise that Belgians have and the needs of the Malaysian authorities on this issue.

“We are certainly not trying to vaporise your assets,” he added. 

Malaysia was the third-largest supplier of rare earth elements to the European Union (EU) after China and Russia in 2025, accounting for 23 per cent or 3,500 tonnes of imports, according to Eurostat.

However, Malaysia — also the world’s second-largest exporter of refined rare earth elements after China — bans the export of raw, unprocessed rare earths to protect its domestic resources. 

The country is also a key exporter of refined petroleum to Belgium, which amounted to RM317 million in April 2026, according to the Observatory of Economic Complexity (OEC). 

Bilateral trade between Malaysia and Belgium totalled RM9.74 billion in 2025, comprising RM6.85 billion in Malaysian exports and RM2.89 billion in imports from Belgium. 

Asked if disruptions in the Strait of Hormuz have hurt Belgium’s oil flow, Prévot said the energy shocks has compelled EU countries to diversify their supply chain.

“That is one of the reasons it is really important to be in contact with many countries around the world, and certainly countries from the Asean region, in order to conclude new opportunities.

“It is also important to achieve a peace agreement in order to keep the Strait of Hormuz free and to guarantee respect of international maritime law.

“Like most Asean countries, we (Belgium) are also a maritime nation. So, it is really important to respect such international law,” he explained.

Push for Palestinian statehood

Prévot also described the Belgian government’s decision to recognise the state of Palestine and impose sanctions against Israel — which Malaysia also strongly advocates — as a “coherent and crucial move that aligns with international law.”

“Belgium is a friend of the Jewish community and the Israeli people. We have no problem with the citizens.

“We have problems with the current Israeli government, led by Prime Minister Benjamin Netanyahu and the way he is acting. 

“And that’s what we are denouncing through a concrete manner and not just by staying at the balcony,” he said.

Belgium formally recognised the Palestinian state at the United Nations General Assembly last year and slapped Israel with 12 sanctions that included an import ban on products from illegal Israeli settlements in the occupied West Bank.  

Prévot, who also oversees Belgium’s foreign affairs, European affairs and development cooperation portfolio, is on his first working visit to Malaysia since taking office in February 2025.