Global demand for critical minerals required for green technologies such as solar panels and electric vehicles is on the rise. Despite China’s dominance in processing these minerals, extraction takes place in diverse regions, including the Democratic Republic of Congo and Indonesia. The International Energy Agency’s Global Critical Minerals Outlook 2024 covers the vital supply-demand dynamics fueling this sector.
China currently controls more than 90% of rare earth and battery-grade graphite products. Meanwhile, the Democratic Republic of Congo contributes almost two-thirds of the world’s cobalt production, and Indonesia has become a significant player in nickel mining. Australia’s growing lithium supplies are also crucial to the industry.
Climate change adds another layer of complexity to the supply of these minerals. For instance, more than half of the world’s copper mines are located in areas with high water stress, raising concerns about sustainable mining practices. The race to mine these minerals is fraught with legal and physical challenges, underscoring the urgent need for a balanced approach to meet global climate goals.
