On October 6, 2024, the weekly Radar published an article titled “From Lithium to Every Resident 2.6 Euros per Year,” which presented a study on the economic effects of the Jadar project, authored by Zoran Drakulić and economists Boško Mijatović, Danica Popović and Dejan Šoškić. In response, Rio Tinto issued a statement asserting that the study was misleading, manipulating facts to present a distorted view of the economic impacts of the Jadar project, particularly the claim that “Serbia would collect 2.6 euros per capita per year from lithium.”
Rio Tinto criticized the calculations in the study, labeling them as incorrect and misleading. They highlighted that the projected income from the project is significantly higher than the figures presented in the study, asserting that Serbia could expect over 180 million euros annually in taxes and mining rents alone. Over the project’s lifespan, this could amount to more than 4.8 billion euros, contrary to the claim of only 695 million euros.
The statement detailed the anticipated economic contributions from the Jadar project, estimating that indirect and induced impacts would lead to a GDP contribution of approximately 1.9 billion euros, equating to over three percent of Serbia’s current GDP. Additionally, the project is projected to create around 3,500 jobs during construction and 1,300 permanent positions with competitive salaries.
Rio Tinto emphasized that the investment of 2.55 billion euros represents one of the largest industrial greenfield investments in Serbia’s history. The company noted that it would prioritize local suppliers, with an expected annual expenditure of over 300 million euros, 70 percent of which would be directed to Serbian businesses.
Moreover, the response addressed misconceptions about Rio Tinto’s tax obligations, asserting that the company is required to adhere to OECD tax guidelines, which mandate a minimum corporate tax rate. It also refuted claims that the Serbian government had provided substantial financial support for infrastructure, clarifying that Rio Tinto would finance necessary environmental measures independently.
In light of these claims, Rio Tinto urged stakeholders to engage with official sources and participate in transparent discussions regarding the project. The company expressed its commitment to uphold high environmental standards and invited critics to dialogue about the economic and environmental aspects of the Jadar project.
