India's Industrial Pivot: Building Resilience in Critical Mineral Supply Chains

To compress timelines, regulatory processes must be streamlined by aligning central and state-level clearances. Permitting delays, currently stretching up to 18 years, are a bottleneck India cannot afford.

- MANISH VAID

The electric-vehicle boom and clean-energy revolution have ignited a global race for critical minerals. EV sales topped 17 million in 2024 and are projected to exceed 20 million in 2025. Lithium, cobalt, and rare earths, essential to batteries, turbines, and electronics, are now strategic commodities. China's April 2025 export curbs sent shockwaves through supply chains, with rare-earth magnet shipments halving that month. Automakers worldwide warned of production halts due to supply insecurity.

Yet rather than derail progress, these disruptions have sparked renewed global collaboration.

MINERALS, MARKETS, AND POWER PLAYS

For India, the turning point came with the Quad's Critical Minerals Initiative, unveiled at the July 2025 summit. The Initiative aims to bolster economic security and shared resilience through coordinated efforts to secure and diversify critical mineral supply chains.

This shift is already visible. The U.S. firm MP Materials is expanding domestic refining and prioritizing allied buyers. The EU is fast-tracking projects under its Critical Raw Materials Act. India, for its part, has formed a dedicated task force to build its battery metals ecosystem, signed mining deals in Africa, and is stockpiling key inputs.

These global moves are translating into actionable partnerships. Australia is forming joint ventures to supply lithium to India. Japan has deepened its stake in Lynas, Australia's rare-earth giant. U.S. mining companies are ramping up projects in Mongolia and Africa.