The UK and the United States have signed a new partnership aimed at securing supplies of critical minerals essential to modern industry and technology…reports Asian Lite News
UK businesses are set to receive a boost after the United Kingdom and the United States signed a new partnership designed to secure supplies of critical minerals used in everyday products ranging from smartphones to household appliances.
The agreement was signed in Washington DC at a meeting attended by representatives from more than 50 countries. Foreign Office Minister Seema Malhotra signed a Memorandum of Understanding with US Under Secretary of State Jacob Helberg, committing both governments to closer cooperation to accelerate efforts to secure minerals considered vital for domestic production and future industries.
Seema Malhotra said, “As demand for critical minerals around the world continues to rise, this Memorandum of Understanding with the United States underscores our commitment to working as close allies to build resilient, diversified global supply chains. This is an important step in safeguarding long-term economic growth at home and protecting the UK’s interests around the world.”
The partnership builds on the UK’s Critical Minerals Strategy, published last November, which is backed by up to £50 million in new funding aimed at expanding domestic production and processing capacity. The strategy sets out the government’s intention to reduce dependence on single sources of supply and strengthen resilience across key industrial sectors.
Under the strategy, ministers have set an objective that by 2035 no more than 60 percent of the UK’s supply of any individual critical mineral should come from any one country. Officials argue that diversifying supply chains is increasingly important as global demand for minerals such as lithium, cobalt and rare earth elements rises, driven by growth in clean energy technologies, electric vehicles and advanced manufacturing.
The new agreement with the United States is intended to support that aim by encouraging closer coordination on policy and by unlocking greater private sector investment in mining, processing and related infrastructure. The government said the partnership would benefit sectors including automotive manufacturing, defence and clean energy in both countries by improving access to the materials they require.
Industry Minister Chris McDonald said, “We need critical minerals for everything – from the phones we use to the cars we drive. This partnership with the United States will boost minerals projects across Britain and drive new investment into businesses. Our Critical Minerals Strategy stressed the importance of forming international partnerships to diversify our supplies of minerals, and this signing does exactly that.”
Ministers described the agreement as the latest in a series of steps aimed at securing the UK’s supply of materials considered essential for economic growth, national security and the transition to low-carbon technologies. The UK has already signed similar bilateral agreements with countries including Australia and Canada.
According to government figures, the critical minerals sector contributes £1.79 billion to the UK economy and directly supports more than 50,000 jobs. There are currently more than 50 critical mineral projects in the UK focused on extracting and refining these materials, with ministers arguing that international partnerships will help ensure their long-term viability.
The government said further cooperation with allies is expected as competition for critical minerals intensifies globally, with supply security seen as an increasingly strategic issue for advanced economies.
