- India and the United States have signed a framework agreement to secure supplies of critical minerals and rare earths, including their mining and processing, according to the Indian Ministry of External Affairs and the US embassy in India.
- The deal was finalized between Indian External Affairs Minister Subrahmanyam Jaishankar and US Secretary of State Marco Rubio in New Delhi during Rubio’s visit.
- The framework seeks to deepen cooperation between New Delhi and Washington across the critical minerals and rare earths supply chain, including mining, processing, recycling and related investments, according to the Indian foreign ministry.
- Through this framework, the United States and India will engage in international efforts to protect sensitive supply chains from coercive market practices and reduce vulnerability to single-source monopolies.
- In July 2023, the Indian government released a list of 30 minerals described as critical, including antimony, beryllium, cobalt, copper, gallium, and others.
- According to government sources, India has 13.15 million tonnes of monazite, a phosphate mineral that contains rare earth oxides, one of the main natural sources of rare earths.
- The Indian government estimated that the country’s monazite contains 7.23 million tonnes of rare earth oxides (REOs).
- In India’s national budget for the financial year 2026-2027, the government introduced a new policy measure to create “rare earth corridors” in the states of Odisha, Kerala, Andhra Pradesh and Tamil Nadu.
India and the United States have entered a significant partnership by finalizing a framework agreement aimed at securing supplies of critical minerals and rare earths. The deal, concluded between Indian External Affairs Minister Subrahmanyam Jaishankar and US Secretary of State Marco Rubio in New Delhi, marks a vital step in strengthening bilateral relations.12
The agreement focuses on improving cooperation over the critical minerals supply chain, which includes mining, processing, and recycling. According to the Indian Ministry of External Affairs, it also includes commitments to protect supply chains from coercive market practices and diminish risks associated with reliance on single-source monopolies.
The cooperation encompasses a list of 30 minerals deemed critical by the Indian government, which includes elements like lithium, cobalt, and rare earth elements essential for technology and renewable energy sectors. Notably, India is estimated to possess approximately 13.15 million tonnes of monazite, containing 7.23 million tonnes of rare earth oxides (REOs).567
Further reinforcing this initiative, India has introduced a policy measure in its national budget for the fiscal year 2026-2027 to establish “rare earth corridors” across several states including Odisha and Tamil Nadu, enhancing its capacity to mine and process these vital resources.8
As global demand continues to surge for critical minerals in electronics and renewable energy, this partnership aims to create a more resilient and sustainable supply chain between the two nations.
“India and the US have signed a framework agreement focusing on critical minerals and rare earths. This deal aims to bolster cooperation across mining, processing, and securing supply chains.”
