Rare earths (or rare earth elements) are a fundamental raw material for the development of technology. Their availability is therefore essential for maintaining competitiveness in all sectors of the economy. They are an essential component of technologies for energy and mobility transition and digitalisation, which means that the demand for rare earths will increase massively in the future. Deposits and mining of rare earths are concentrated in very few countries outside Europe. Germany and the EU are therefore almost entirely dependent on imports. The great market power of individual raw material producers and, in particular, China's quasi-monopoly position as the main supplier therefore pose major supply risks. The development of new deposits in Europe, recycling and the establishment of a circular economy are approaches to reducing this dependence on imports. The development of a European rare earths mining industry is of fundamental geopolitical importance for Europe and Germany. The Commission's proposal for a European regulation on critical raw materials has set the first course for the mining and processing of rare earths towards simplified and shortened authorisation procedures for mining projects. European deposits are located in Sweden, Greenland and Finland. There is also a deposit in Germany near Leipzig. Recycling of rare earths is not yet widely practised in Europe. In addition to the lack of cost-effectiveness, this is mainly due to the technical difficulties of extracting rare earths from end-of-life products. In addition, only small quantities can be recovered due to the high degree of dispersion and low material content. In principle, only a few potential recycling materials find their way to recovery. The approach of a circular economy goes beyond recycling. It aims to manage the value of materials more effectively and for longer in the system of extraction, production and use. It has been calculated that a large part of the expected demand for rare earths could be met by a circular economy that combines technological innovation, recycling and behavioural change.