Australia is intensifying efforts to deepen cooperation with India in the critical minerals sector, focusing on lithium and cobalt. These minerals have gained strategic importance as both countries seek to secure supply chains crucial for electric vehicles and clean energy technologies.
Australian High Commissioner to India Philip Green highlighted that critical minerals were a major topic during Australian Foreign Minister Penny Wong's recent visit to New Delhi.
This cooperation reflects Canberra's intent to strengthen a cornerstone of bilateral relations amid growing global competition for strategic resources.
What are the key minerals driving Australia-India cooperation?
Lithium and cobalt are the central minerals underpinning this partnership. Australia produces over half of the world's lithium, essential for battery production.
India, aiming to become a major battery and EV manufacturer, is emerging as a significant recipient of these minerals globally.
Australia also supplies cobalt, another vital mineral for energy storage and electric vehicles.
These resources are integral to the transition toward cleaner energy and transportation, making their secure supply paramount for both nations.
Did you know?
Australia is home to the Greenbushes mine in Western Australia, which is the largest active lithium mine in the world. It is unique not just for its size but for its incredibly high "grade" of ore, making it the premier asset in the global lithium industry.
How is the Australia-India partnership structured for critical minerals?
The partnership operates through collaboration between Australia's Critical Minerals Office and India's Ministry of Mines. Over the past two years, they have identified five major lithium and cobalt projects, enabling Indian private sector firms to explore equity stakes or offtake agreements.
This builds on a 2022 memorandum of understanding and benefits from the Australia-India Economic Cooperation and Trade Agreement, which removed tariffs on key Australian mineral exports like lithium and cobalt. The framework facilitates smoother trade and investment flows in this sector.
What role does the Quad grouping play in this partnership?
The Quad, comprising Australia, India, Japan, and the United States, has become an important platform for enhancing regional security and economic stability.
Australia's High Commissioner, Philip Green, described it as a powerful force for maintaining peace and prosperity in the Indo-Pacific region.
Recent Quad initiatives include launching the Quad Critical Minerals Initiative to bolster economic security and diversify supply chains.
Australia has also signed a critical minerals agreement with the US to extensively finance development projects, signaling a coordinated effort among Quad members.
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How does the partnership benefit India's clean energy goals?
India's National Critical Minerals Mission, launched in January 2025, plans to explore 1,200 new sites and auction over 100 mineral blocks to boost domestic mining.
Access to Australian lithium and cobalt aids India in meeting growing demand for batteries and electric vehicles.
The partnership significantly reduces India's dependence on imports from other sources, strengthening its supply chains for clean energy technologies.
This collaboration aligns with India's broader strategy for sustainable development and energy security.
What are Australia’s strategic ambitions in deepening this cooperation?
Australia aims to expand beyond raw mineral exports by developing domestic processing capabilities, ensuring higher value from its mineral wealth.
Deepening ties with India secures a reliable export market for its lithium and cobalt. The collaboration is viewed as integral to Australia's role as a trusted regional partner, providing stability amid global disruptions.
Australia's eagerness for India to host the next Quad Leaders' Summit further underlines the two nations' growing strategic alignment.
Looking ahead, the Australia-India critical minerals partnership is poised to strengthen supply chains for green technologies and contribute to economic security in the Indo-Pacific. The collaboration reflects a shared commitment to a stable and prosperous regional future.
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