Introduction
Critical minerals—such as lithium, cobalt, nickel, and Rare Earth Elements (REEs)—have emerged as foundational inputs for the contemporary global order. Driven by the dual imperatives of the global decarbonisation transition and cutting-edge defense technologies, control over critical mineral supply chains has superseded hydrocarbons as the primary determinant of geopolitical influence and strategic power in the twenty-first century.
Dimensions of Critical Minerals as Strategic Power
The geopolitical balance of power is increasingly dictated by mineral endowments and technological control over mineral processing chains across key strategic domains:
- Clean Energy Hegemony: The transition away from fossil fuels entails a shift from fuel-intensive to material-intensive energy architectures. According to the International Energy Agency (IEA), an electric vehicle demands six times the mineral inputs of a conventional internal combustion vehicle, while mineral demand for clean energy technologies is projected to quadruple by 2040. Control over these supply lines transfers global economic leverage from historical petrostates to mineral-rich and mineral-processing nations.
- Technological and Military Superiority: Critical minerals are non-substitutable inputs in fifth-generation warfare and aerospace systems. For example, a single F-35 fighter aircraft requires approximately 417 kilograms of rare earth elements for its stealth coatings, electronic warfare systems, radar, and precision targeting optics. Similarly, gallium and germanium are irreplaceable in active electronically scanned array (AESA) radars and advanced semiconductor fabrication.
- Midstream Chokeholds and Weaponization: Unlike petroleum, where strategic concentration lies primarily in upstream extraction, critical mineral vulnerabilities are heavily concentrated in midstream chemical processing and refining. China controls approximately 90% of global rare earth processing and 65% of refined lithium capacity. The imposition of export controls on gallium, germanium, antimony, and graphite illustrates how refining dominance is weaponized as a tool of coercive economic statecraft.
- Geopolitical Minilateralism and Blocs: Access to critical raw materials is redefining international alignments. Defensive minilateral coalitions have emerged to derisk and friend-shore supply chains, most notably the United States-led Minerals Security Partnership (MSP) and the regulatory framework established by the European Union's Critical Raw Materials Act.
India's Strategic Vulnerabilities and Policy Response
India faces acute strategic exposure due to an almost 100% import dependency for domestic requirements of lithium, cobalt, and nickel. To mitigate these risks and bolster national mineral security, India has initiated targeted structural reforms:
- Domestic Legislative Reforms: The Mines and Minerals (Development and Regulation) Amendment Act, 2023 officially designated 24 critical and strategic minerals, revoking atomic mineral reservations and enabling the auction of Exploration Licences to private sector players.
- Proactive Resource Diplomacy: Through the joint venture Khanij Bidesh India Ltd. (KABIL), India secured exploration and development rights for five lithium brine blocks in Catamarca, Argentina. Additionally, India's induction into the Minerals Security Partnership fosters co-investment in secure global supply chains.
Conclusion
To insulate national security and industrial growth from geopolitical shocks, India must pair international resource diplomacy with resilient domestic strategies. Establishing strategic critical mineral stockpiles, mandating urban mining through advanced battery recycling frameworks, and investing heavily in mineral-substitution research and development will be paramount for securing long-term economic and strategic sovereignty.