Tanzania – Growing Demand for Key Minerals
The United Nations recently announced that the demand for essential minerals, which power everything from smartphones to military technology, is set to rise dramatically. According to Undersecretary-General Rosemary DiCarlo, this demand could triple by 2030 and quadruple by 2040.
DiCarlo highlighted that minerals like lithium, cobalt, and nickel, once considered less important, are now crucial for technologies that drive both the digital economy and energy solutions. She addressed this topic at a significant U.N. Security Council meeting led by the United States, titled “Energy, Critical Minerals and Security.”
In her remarks, DiCarlo noted that the trade in raw and semi-processed minerals reached around $2.5 trillion in 2023, accounting for over 10% of global trade. The projections about increasing demand are based on U.N. reports scheduled for 2025.
U.S. Energy Secretary Chris Wright, who chaired the meeting, emphasized that it’s vital for the U.S. and its allies to avoid over-reliance on a single country for crucial materials that influence both economic stability and national security. He stated that focusing on the significance of these minerals ties into efforts to prevent conflict and foster international collaboration.
The U.S. is taking bold steps to secure supplies of these key minerals needed for electric vehicles and advanced technology. For instance, the previous administration took measures to counterbalance China’s dominance in the rare earth minerals market, especially when supply was impacted by tariffs.
While there was a temporary easing of tensions between the U.S. and China over import taxes, China continues to maintain tighter controls on these resources. Recently, the U.S. announced intentions to form a trading alliance with its allies to challenge China’s monopoly.
China’s U.N. Ambassador Fu Cong acknowledged that as technology progresses and the shift towards renewable energy accelerates, the need for these minerals is growing. He called for greater international collaboration to stabilize supply chains, which he believes is crucial for global economic growth.
Fu also encouraged all nations to join an initiative proposed by China, aimed at transforming the mining sector towards more environmentally friendly practices, first introduced at the G20 summit in South Africa last November.
To diversify sources for these critical minerals, the U.S. is enhancing cooperative efforts with countries like Australia, Ukraine, Venezuela, and the Democratic Republic of Congo.
On the same day, U.S. Secretary of the Interior Doug Burgum announced that Venezuela’s government would provide security guarantees for mining investments in areas previously dominated by illegal groups.
Additionally, Congo’s President Felix Tshisekedi has opened discussions with U.S. companies regarding access to the nation’s vast untapped mineral resources, which are valued at an estimated $24 trillion. This offer aims to garner U.S. assistance in combating rebels and developing essential infrastructure in the region.
Congo’s U.N. Ambassador Zenon Mukongo emphasized that the private sector plays a crucial role in the mineral industry. He urged companies to respect national laws and ensure their activities do not inadvertently support armed groups or exploit local resources illegally.
