India, along with more than thirty countries, is working to establish an alternative supply chain for critical minerals used in electric vehicles, smartphones, and defence equipment.

This effort comes as governments seek to reduce their heavy dependence on China, particularly after Beijing tightened exports of key minerals.

According to officials, India is collaborating with between thirty and forty nations to create a new market and supply chain that can provide resilience and reduce import reliance on China.

India is currently in talks with Chile, Canada, Japan, Australia, and other partners to bring them on board for building a robust and resilient critical minerals supply chain.

This initiative is part of a wider global push to diversify sources of essential minerals. Recently, the Quad partners—India, Australia, Japan, and the United States—set an ambitious target to mobilise up to $20 billion in government and private-sector support.

The aim is to strengthen secure supply chains, reduce dependence on dominant suppliers, and reinforce regional industry.

Officials have noted that while India does possess reserves of critical minerals, these are largely allocated for specific projects, such as those undertaken by ISRO. For mass-market requirements, including smartphones and vehicles, Indian industry continues to import from China.

The biggest challenge lies in persuading Indian industry to source from alternative markets, given China’s strong competitive edge in exports. Pricing remains a major concern, with officials emphasising that the challenge is to match costs and convince industry to buy from India and partner countries.

India is positioning itself as a trusted partner in emerging mineral alliances. Officials have stressed that countries need confidence in India’s systems before they open up sensitive technologies. To strengthen its capabilities, Indian agencies are exploring partnerships with research institutions in Australia to gain expertise in mineral extraction and processing.

This collaboration is expected to enhance India’s technical know-how and support its long-term supply chain ambitions.

Critical minerals include copper, lithium, nickel, cobalt, graphite, aluminium, manganese, silicon, silver, and rare earth elements. These resources are vital for national security as they underpin defence, aerospace, nuclear, and space applications.

They are also essential for advanced technologies and clean energy transitions, making them central to both economic growth and strategic resilience.

India’s participation in global alliances reflects its determination to secure these resources and reduce vulnerabilities in the face of shifting geopolitical and trade dynamics.

Agencies