Why are critical minerals considered geopolitical chokepoints?

Critical minerals like lithium, cobalt, and rare earths are vital for the global energy transition and influence energy security, industrial competitiveness, and geopolitical power, making their control a strategic concern.

What is China's role in the critical minerals market?

China has a near-monopoly on rare earth processing and a dominant share in refining other key minerals, leveraging this position in international trade and supply chain dynamics.

How is India addressing critical mineral supply chain resilience?

India is balancing domestic capability strengthening with global engagement through initiatives like the National Critical Mineral Mission and international partnerships, alongside reforms in mining and exploration.

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Critical Minerals: The New Geopolitical Battleground

29 Jan

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Summary

Critical minerals are central to energy security and geopolitical power.
China dominates rare earth processing, a key trade lever.
India balances domestic strength with global partnerships for minerals.

Critical Minerals: The New Geopolitical Battleground

The 2026 Economic Survey reveals that control over critical minerals, including lithium, cobalt, and rare earths, is becoming a decisive factor in the global energy transition, influencing energy security and geopolitical power.

Source countries are increasingly implementing trade restrictions on critical mineral exports, impacting the pace and cost of the low-carbon transition. China holds a near-monopoly on rare earth processing and a significant share in refining other key minerals, which it has leveraged in trade disputes.

Copper's price volatility is noted, driven by supply concerns and surging demand from the power sector and data centers. The material intensity of renewable energy technologies, such as wind turbines and solar panels, underscores the immense need for these minerals.