US AND CHINA: INEXTRICABLE PARTNERS IN THE CRITICAL MINERALS SUPPLY CHAIN 

Despite the United States' ambition to diversify its sources of critical minerals – essential materials in manufacturing electronic vehicle batteries and solar panels – it can only partially sever ties with China. As a senior President Biden administration official noted on September 22, 2023, China's role in processing these crucial minerals makes it an indispensable partner. Therefore, the US's primary objective is diversification rather than exclusion of China.

Jose Fernandez, the US Under Secretary for Economic Growth and Environment, emphasized the strategic direction of the United States; it is worth noting that Chinese companies continue to provide a significant amount of these vital resources. Critical minerals are fundamental in high-tech applications such as green-energy transition, defence systems, and electric vehicle batteries. With China controlling the lion's share of mining and refining activities, its dominance in these sectors is evident. Crucial figures entail the percentage of global cobalt (68%), nickel (65%), and high-grade lithium for electric vehicle batteries (60%) refined by China, accompanied by the fact that 75% of all batteries and most electric vehicles are manufactured within its borders.

The mineral processing concentration within China has significant implications for the global supply chain, leaving it susceptible to geopolitical shocks. The US's apprehension about this dominance is rational. However, as Fernandez pointed out, the US recognizes the necessity of Chinese involvement to achieve its decarbonization targets.

To increase foreign investment and Western expertise in mineral-rich yet developing nations, Fernandez spearheads a State Department initiative, the Minerals Security Partnership. It aims to catalyze valuable mining projects that could supply critical raw materials like lithium, manganese, and cobalt.

While the past decade has seen considerable steps toward diversifying the sourcing of these crucial minerals, China remains the pivotal player in global processing and manufacturing. Therefore, collaboration with China is inevitable, as the US safeguards its interests and companies, freely criticizing when necessary.

In conclusion, despite global vulnerabilities inherent in the critical mineral supply chain, global powers recognize China's crucial role. The complex geopolitical theatre surrounding essential mineral supply chains portrays the US's awareness of China's significance in the future of green energy and its inability to circumvent this reality. Hence, the intricate partnership between these global forces offers compelling insights into the geopolitics of critical mineral supply chains. Substantial investments, regulatory reformations, and international cooperation must shape a resilient global supply chain. National leaders and markets must emphasize investing and streamlining every value chain step, countering geopolitical risks with desirable new investments.

The public and private sectors must collaborate to realize goals faster. Nations like the US, Australia, and the EU spearhead efforts toward sustainable critical minerals strategies that will enrich their respective countries and contribute to a more secure global supply chain. However, most of these strategies are still in their infancy. The ball remains in the court of the public and private sectors, their partnerships, and carefully planned incentives to close the gap where supply may fall short of demand.

Above all, while we need to beef up every stage of the value chain, cooperation with like-minded international partners can prove instrumental. The competition for access to these crucial minerals opens new opportunities for unprecedented global collaboration, empowering nations, and companies alike to navigate the complexities and vulnerabilities intrinsic in the critical minerals supply chain.