China unveiled a new mining initiative with partner nations during the G20 Leaders Summit in Johannesburg on 23 November. The move comes at a time when global concerns over mineral export controls are rising and several countries are searching for stable supply chains for critical minerals.
Premier Li Qiang said the initiative is meant to “promote mutually beneficial cooperation and peaceful use of key minerals” and protect “the interests of developing countries, while prudently addressing military and other uses.” The plan, launched at the first G20 summit hosted in Africa, includes 19 participating countries such as Cambodia, Nigeria, Myanmar and Zimbabwe, along with the United Nations Industrial Development Organisation. China did not share financial details linked to the effort.
According to official statements inside China, the proposal aims to build an inclusive network that supports the “fair and reasonable, stable and smooth” mining of key minerals. The announcement follows increasing efforts by European countries and the Global South to strengthen their positions in an industry where China plays a major role in processing rare earths.
Meanwhile, the United States and its allies are trying to create separate supply routes for rare earth magnets used in advanced technologies. Ahead of the G20 discussions, leaders issued a joint declaration that indirectly criticised China for “unilateral trade actions” that affect access to critical minerals, a challenge faced by manufacturing nations including Germany and Japan.
During his address at the summit, Li Qiang said China must “cautiously manage” exports that involve minerals important for military use. He explained the reasoning behind China’s earlier export curbs. President Xi Jinping has used China’s strong position in the rare earth market to shield the economy from tariffs imposed by US President Donald Trump.
China’s rare earth rules, first introduced in April and broadened in October, require exporters to obtain a license for every shipment. These curbs led to shortages in May and disrupted parts of the auto sector. European nations have been heavily affected by these requirements for metals used in military related products. Leaders from France, Germany, the UK and Ireland are expected to visit China soon, with access to rare earths expected to be a priority topic.
China and the United States are finalising talks on issuing “general licenses” that would support the smooth movement of rare earths. This follows a trade truce reached last month between Xi and Trump, which Trump described as positive for the world.
Also read: Viksit Workforce for a Viksit Bharat
Do Follow: The Mainstream formerly known as CIO News LinkedIn Account | The Mainstream formerly known as CIO News Facebook | The Mainstream formerly known as CIO News Youtube | The Mainstream formerly known as CIO News Twitter
About us:
The Mainstream is a premier platform delivering the latest updates and informed perspectives across the technology business and cyber landscape. Built on research-driven, thought leadership and original intellectual property, The Mainstream also curates summits & conferences that convene decision makers to explore how technology reshapes industries and leadership. With a growing presence in India and globally across the Middle East, Africa, ASEAN, the USA, the UK and Australia, The Mainstream carries a vision to bring the latest happenings and insights to 8.2 billion people and to place technology at the centre of conversation for leaders navigating the future.
