The Global Race for Rare Earth Elements: A New Resource Landscape
Global markets are witnessing a feverish race to control rare earth elements – critical minerals essential to modern technologies, from smartphones and electric vehicles to artificial intelligence and defense systems. As demand for clean technology and digital infrastructure surges, these elements have become a strategic resource rivaling oil in importance.
Currently, China dominates the rare earth element landscape. According to the US Geological Survey (USGS), China holds approximately 44 million metric tons of reserves and extracted around 270,000 tons in 2024 alone. Furthermore,China processes over 90% of the world’s supply,granting it important economic and geopolitical influence.
However, this dominance is facing challenges as new potential sources are being discovered.reports indicate substantial reserves in Vietnam (21.6 million tons), Brazil (20.4 million tons), and Russia (20.4 million tons). Notably, the Dominican Republic is estimated to hold up to 100 million tons – a figure that, if confirmed, could dramatically reshape global influence.
Here’s a breakdown of the largest known rare earth element reserves worldwide:
* Dominican Republic: 100 million tons (unconfirmed estimates)
* China: 44 million tons
* Vietnam: 21.6 million tons
* Brazil: 20.4 million tons
* Russia: 20.4 million tons
* Norway: 8.8 million tons
* India: approximately 6.9 million tons
* United States: 1.9 million tons
* Greenland (Denmark): 1.5 million tons (largely unexploited)
* Sweden: 1 million tons
this evolving landscape signifies that China is no longer the only influential player. In Greenland, mining companies are eyeing opportunities to establish a reliable Western source of these vital minerals. The United States is also pursuing independence in this sector, with President Trump reactivating an executive order aimed at achieving “independence in rare earth elements” for both economic and national security reasons.
Experts agree that over-reliance on China provides it with considerable leverage in any commercial, political, or military conflict, driving the West to accelerate the development of option sources. However, this pursuit is not without its challenges. Mining and processing rare earth elements often involve environmentally damaging practices, including the use of acids, radioactive materials, and significant water consumption.
The International Energy Agency (IEA) projects demand for these elements will increase four to six times by 2040. This forecast is prompting investment in electronic waste recycling, the development of cleaner processing technologies, and the forging of international partnerships to strengthen supply chains.
As Jin Nakano, from the Center for Strategic and International Studies, succinctly puts it: “Not to invest in this sector will have a high cost, as it is not only related to technology, but also global influence.”
