India Joins Global Push for Critical Mineral Security Amid China Concerns
New Delhi: As China increasingly wields its dominance in critical minerals as a geopolitical tool, India is actively aligning with the United States and other nations to secure stable supply chains. Minister of Electronics and IT, Ashwini Vaishnaw, is expected to represent India at a crucial US-hosted meeting on critical minerals beginning Monday. This move underscores a growing international effort to counter China’s influence in this vital sector.
US Initiative and India’s Participation
The US Treasury Secretary, Scott Bessent, announced on saturday that Australia, India, and several other countries would participate in a meeting of finance ministers from the Group of Seven (G7) economies. This meeting, convened by Bessent in Washington, D.C., aims to accelerate discussions on diversifying critical mineral supply chains. Bessent has been a driving force behind these discussions, pushing for focused engagement since last summer’s G7 summit, with an initial virtual meeting held in December.
India’s involvement extends beyond this G7 meeting. The nation is also set to join the “Pax Silica” initiative spearheaded by the US, coinciding with New Delhi’s upcoming artificial intelligence summit. This collaboration signals a deepening strategic partnership between the two nations on technology and resource security.
The ‘Pakistan Factor’ and US Strategy
While strengthening ties with India, the US is simultaneously pursuing critical mineral initiatives with Pakistan, a move that has raised concerns in New Delhi. In December, the US Export-Import Bank (EXIM) approved $1.25 billion in financing for the Reko Diq mining project in Pakistan, with potential for up to $2 billion in further investment for equipment and services, creating thousands of jobs in both countries. This parallel engagement, while aimed at diversifying supply chains, has been viewed by India as potentially contributing to political alignment between the US and Pakistan.
India’s National Critical Mineral Mission
Recognizing the strategic importance of these resources, India launched the National Critical mineral Mission (NCMM) in 2025.This aspiring program focuses on securing supply chains for critical sectors like clean energy and defense by reducing reliance on imports. A key component of the NCMM involves intensified exploration activities carried out by the Geological Survey of India (GSI).
Domestic Mining and Exploration Efforts
The GSI has ramped up its exploration programs, undertaking 195 projects in the 2024-25 field season, with 35 specifically focused on the mineral-rich state of Rajasthan. The mission aims to auction off over 100 critical mineral blocks and expand exploration to offshore regions, targeting polymetallic nodules rich in cobalt, rare earth elements (REEs), nickel, and manganese.
Furthermore, the Indian government has committed ₹7,280 crore (approximately $87 million USD) to establish a domestic integrated Rare Earth Permanent Magnet (REPM) manufacturing ecosystem, aimed at boosting domestic production capabilities.
The Global Landscape of Critical Minerals
The demand for critical minerals is surging worldwide, driven by the global transition to clean energy technologies and the increasing dependence on these materials for defense and advanced manufacturing. however, China currently dominates the refining and processing of many of these key resources, controlling between 47% and 87% of the supply of copper, lithium, cobalt, graphite, and rare earths, according to the International Energy Agency.
This concentration of power has prompted nations worldwide to seek diversification and reduce their dependence on a single source. Australia’s recent agreement with the US to develop a strategic critical minerals reserve and supply pipeline, valued at $8.5 billion, demonstrates this growing trend.The US is also actively exploring opportunities to secure access to mines in various parts of the world.
India-Russia Collaboration
Along with its partnerships with the US and other nations, India is also strengthening its ties with Russia to develop joint projects in the critical minerals and rare earths sectors. This collaboration reflects Moscow’s efforts to broaden its partnerships and India’s determination to secure diverse sources of supply.
Key Takeaways
- India is strategically aligning with the US and other nations to counter China’s dominance in the critical minerals supply chain.
- The National Critical Mineral mission is central to India’s efforts to secure domestic supplies and reduce import dependence.
- The US is pursuing a multi-pronged approach, engaging with both India and Pakistan in critical mineral initiatives.
- Global demand for critical minerals is rising, necessitating diversification of supply sources.
- India is seeking to establish robust domestic mining and processing capabilities to ensure long-term resource security.
