Critical minerals agreements and trade agreements
Critical minerals, such as lithium, cobalt and nickel, are essential for technologies like electric cars, solar panels and rechargeable batteries. These are needed in the transition from a fossil-fuel based economy to a low-carbon one. Australia, the US and other countries are trying to diversify their sources of critical minerals away from dependence on China.
The Labor government’s June 2023 Critical Minerals Strategy outlines the role of critical minerals in the transition to renewable energy, the need to diversify global sources of critical minerals, and the need to develop mining, value-added processing and other related industries in Australia. It also makes commitments to the involvement of Indigenous people in decision-making, and to high environmental and labour standards.