India US Critical Minerals Deal Aims To Build Safe, Diversified Supply Chains For Batteries, Chips And Clean Tech

India and Washington have signed a partnership for exploration, processing and supply chain resilience for critical minerals and rare earths, External Affairs Minister S Jaishankar said. The agreement is a part of the India US strategic and technology partnership with a clear focus on energy transition, semiconductors and defence manufacturing.

Strategic Intent Behind The Pact

The critical minerals agreement aims to diversify sourcing, promote investment and joint ventures, and establish transparent, resilient and market oriented supply chains. It is a significant enhancement of India US partnership in the field of technologies that support green energy, battery storage, EV production and high tech defence platforms.

Implications For Energy And Industry

The agreement might provide India with access to resources and technology for critical minerals exploration, refining and recycling, thus mitigating its dependence on price volatility and geopolitical instability in the world. India is a big market, co production base and a partner to derisk supply chains for US industry.

Strategic Minerals Highlights

• Investigate lithium, cobalt, nickel, graphite and rare earth elements.
• Seeks to establish resilient and diversified supply chains of clean energy technologies
• Backs electric vehicles, batteries, semiconductors and defence industries
• Incorporates broader India US strategic, trade and technology cooperation.

Sources:  Reuters, India MEA, DD News, CSIS and ACS reports on India US rare earth collaboration, PSA TRUST