US-India Critical Minerals Cooperation Initiatives

Summary of Key Developments in India-US Cooperation on Critical Minerals

1. Bilateral Framework and Task Force:

• Following the signing of the India-US Critical Minerals Framework in May 2026, the US-India Business Council (USIBC) launched a Critical Minerals Security Task Force.
• This task force aims to enhance cooperation in critical mineral supply chains, particularly in response to China's dominance in this sector.

2. Critical Minerals and Economic Significance:

• India identifies 30 minerals as "critical," with 26 overlapping with US priorities, including:
  • Rare earths, lithium, cobalt, nickel, graphite, gallium, tungsten.
• China controls 90% of global critical mineral processing, highlighting the urgent need for India and the US to develop their own capabilities.

3. Priority Areas Identified by Task Force:

• Focus on five key areas:
  1. Lithium refining and Cathode Active Materials (CAM).
  2. Recycling of critical minerals.
  3. Feedstock corridors for mining and processing.
  4. Synthetic graphite production for battery technologies.
  5. Rare earth processing and manufacturing of magnets.

4. Domestic Manufacturing Initiatives:

• India aims to enhance its lithium refining capacity, currently at negligible levels, to meet future electric vehicle (EV) demands.
• A government scheme supports 6,000 metric tonnes per annum (MTPA) of integrated rare earth permanent magnets (REPM) production.

5. Collaborative Structuring:

• The task force is structured around four workstreams:
  • Supply chain security: Strengthening cooperation across mining, processing, and manufacturing.
  • Technology and innovation: Joint research initiatives for next-generation materials.
  • Investment and finance: Structuring bilateral investment opportunities.
  • Policy and regulation: Advocating for conducive regulatory environments.

6. Strategic Initiatives and Agreements:

• On February 20, 2026, India signed the US-led Pax Silica initiative focusing on critical minerals.
• The FORGE (Forum on Resource Geostrategic Engagement) initiative aims to enhance collaboration on critical mineral resources.
• The India-US TRUST initiative promotes trusted supply chains in semiconductors and critical minerals.

7. Future Outlook:

• Emphasis on R&D collaboration and investment across the entire critical mineral value chain.
• The launch of the Strategic Mineral Recovery initiative focuses on processing critical minerals from heavy industries such as aluminum and coal mining.

Conclusion: India and the US are strategically aligning their efforts to secure and strengthen their critical mineral supply chains, positioning themselves to reduce dependency on China while fostering domestic production capabilities and innovation in essential materials for advanced technologies.