• 6 hours Investors Apprehension Makes $3,000 Gold Seem Feasible
  • 1 day Beijing Just Turned Up The Heat In The Tech War
  • 2 days How Big A Threat Is Climate Change To The Global Economy?
  • 3 days $120,000 Banana Gets Eaten At Art Basel
  • 4 days The Fastest Growing Energy Sectors Of 2019
  • 5 days How To Spy On Yourself: The Doorbell To End Civil Liberties
  • 6 days Analyst Predicts Tesla Stock Will Soar To $500
  • 7 days Australian Billionaire To Invest In $88 Million Struggling Solar Project
  • 8 days Twitter-Shaming: The Biggest Threat To Any Business
  • 8 days Canada Looks To Become A Major Source For Critical Minerals
  • 8 days Hedge Funds Are Piling Into This Key Commodity
  • 10 days Trade Deal Not Likely Before Christmas 2020
  • 10 days America's $16 Trillion Debt Bubble Is About To Burst
  • 11 days Black Friday Breaks Online Shopping Records
  • 11 days Tesla's Biggest Competitor Is Hiding In Plain Sight
  • 12 days Are Celebrities Good Or Bad For Cannabis Stocks?
  • 13 days Venezuela’s Crisis Continues As Maduro Spends $5 Billion On Oil Deals
  • 14 days Elon Musk Claims 250,000 Orders For Cybertruck
  • 15 days How To Survive Thanksgiving Politics With Cannabis Gravy
  • 16 days The Fragility Of Monetary Policy
Beijing Just Turned Up The Heat In The Tech War

Beijing Just Turned Up The Heat In The Tech War

China’s Communist Party has ordered…

The Fastest Growing Energy Sectors Of 2019

The Fastest Growing Energy Sectors Of 2019

The world saw a significant…

$120,000 Banana Gets Eaten At Art Basel

$120,000 Banana Gets Eaten At Art Basel

The banana escapade attracted a…

Mining.com

Mining.com

Mining.com

MINING.com is a web-based global mining publication focusing on news and commentary about mining and mineral exploration. The site is a one-stop-shop for mining industry…

Contact Author

  1. Home
  2. News
  3. Breaking News

Is China's Mining Dominance Coming To An End?

US China

The US government is stepping up efforts to break China’s dominance over supplies of critical minerals for a range of modern life’s aspects, including electric vehicles (EVs), green technologies and military applications by launching a plan to boost lithium, cobalt and rare earths mining across the globe.

The Energy Resource Governance Initiative (ERGI) initiative, announced in June, so far involves Australia, Botswana, Peru, Argentina, Brazil, Democratic Republic of the Congo, Namibia, the Philippines and Zambia.

The scheme seeks to promote responsible mining of 15 minerals expected to be in high demand as the adoption of technologies such as EVs, battery storage and wind turbines continue to rise.

“We want to ensure that these important mineral commodities remain free from international coercion and control,” US secretary of state, Mike Pompeo, said in a meeting held on Thursday at the United Nations General Assembly.

“The work that we’re doing here is absolutely essential – it’s essential to ensuring secure and reliable energy supplies for every nation,” he noted.

Pompeo said the Trump administration will also work on bilateral agreements, such as the one it recently signed with Canada, aimed at strengthening cooperation on critical minerals.

Washington has also gained the support of Australia, which has committed to facilitate potential joint ventures to improve rare earth processing capacity and reduce reliance on Chinese rare earths. Related: Lack Of Funding Could Lead To Battery Metal Supply Shortage

In early September, Canberra identified 15 rare earth and critical mineral projects it aims to champion as part of the joint effort with the US to challenge China’s dominance in the market.

The announcement followed a move by Australia’s Lynas Corp., (ASX: LYC), the world’s largest rare earths miner outside China. In July, the company signed a deal with its partner, Texas-based Blue Line, to build a heavy rare earths separation facility in the US. The facility should begin operations by 2021.

The US has also signed a memorandum of understanding to assist Greenland in the exploration and development of the island’s resources — in particular, its rare earth minerals.

Washington has grown more concerned recently about its dependence on mineral imports after Beijing suggested using them as leverage in the trade war between the world’s two largest economies.

Growing supremacy

China accounts for almost 80% of the global mined supply of rare earths, a group of 17 chemical elements used in everything from hi-tech consumer electronics to military equipment.

The nation has used its rare earths dominance to make a political point in the past. It blocked exports to Japan after a maritime dispute in 2010, though the consequent spike in prices triggered a race to secure supplies elsewhere.

Beijing has also been securing supplies of other critical minerals and battery metals such as lithium, cobalt and nickel, buying up stakes in mining projects in countries from Australia to South America and Greenland.

By Mining.com

More Top Reads From Safehaven.com:

Back to homepage

Leave a comment

Leave a comment