Chinese Rare Earth Mineral Restrictions Spark Interest: India and 5 Central Asian Nations Eye Joint Exploration

India and 5 Central Asian countries have jointly voiced their intent to explore opportunities in the field of rare earth and critical mineral resources. This collaborative interest was outlined in a joint statement released on Friday, following the fourth edition of the India-Central Asia Dialogue held in New Delhi. 

The move comes amid growing global concerns over China’s tightening grip on the rare earth supply chain, prompting regional powers to strengthen partnerships for securing essential minerals critical to modern technology and the energy transition.

India, 5 Central Asian Nations Discuss Rare Earth Exploration

India and 5 Central Asian countries have jointly announced their interest in exploring rare earth and critical minerals, marking a significant geopolitical and economic development. The announcement followed the fourth India-Central Asia Dialogue held in New Delhi on 6 June 2025. This move signals the intent to build alternative supply chains and reduce dependence on China, which currently dominates the global rare earth market.

Outcome of the Fourth India-Central Asia Dialogue

The foreign ministers of Kazakhstan, Kyrgyz Republic, Tajikistan, Turkmenistan and Uzbekistan joined India’s representative at the high-level dialogue. The nations expressed a unified vision for the exploration of critical mineral resources. This collaboration stems from the growing strategic importance of rare earth elements in technology, defence and green energy sectors.

Background on Rare Earth: China's Dominance 

Currently, China is responsible for mining about 70% of the world's rare earth elements and maintains near-complete control over refining and processing. In April 2025, China further tightened its grip by imposing export controls on 6 heavy rare earth elements and magnets, citing national security and international non-proliferation commitments.

These restrictions have prompted several countries, including India and its Central Asian partners, to explore independent supply networks to secure uninterrupted access to essential raw materials.

India-Central Asia Rare Earth Forum

The momentum for rare earth cooperation was initially established during the first India-Central Asia Rare Earth Forum in September 2024, held in New Delhi. Encouraged by its outcomes, the ministers agreed to convene the second edition of the forum at the earliest opportunity. The forum aims to enhance mutual understanding and facilitate delegation exchanges focused on technology sharing, geological surveys and commercial partnerships.

Read More: India Prepares Rare Earth Magnet Incentives Amid Supply Concerns! 

Implications for Global Mineral Supply Chain Diversification

This initiative has the potential to significantly influence the rare earth supply landscape. By fostering collaboration in mineral exploration and processing, the participating nations aim to build a more balanced and diversified global supply chain. The move is seen as a strategic counterweight to China’s dominance and could serve to stabilise global markets for critical minerals.

Conclusion

The joint interest shown by India and the 5 Central Asian nations reflects a growing urgency to establish reliable and diversified sources of rare earth minerals. This alliance, rooted in mutual benefit and strategic foresight, may contribute to reshaping the global dynamics of critical mineral supply chains in the coming years.

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