Putin orders Russian government to present development program for rare earth metals not later than November

Putin orders Russian government to present development program for rare earth metals not later than November

Russian President Vladimir Putin has directed the Russian government to present a development program for rare earth metals by November. This directive aims to bolster the country's domestic production capabilities and reduce reliance on foreign suppliers, particularly China, which currently dominates the global rare earth market [1].

The move follows recent trends in the global mining sector, where Western nations are investing in alternative sources to diversify their supply chains. For instance, Aclara Resources Inc. secured $5 million in funding from the US International Development Finance Corporation for its Carina heavy rare-earth project in Brazil [1]. Similarly, Canadian company Critical Metals is advancing its Tanbreez project in Greenland, which is expected to become one of the largest rare earth operations globally [2].

The Russian government's push for a domestic rare earth metals program is likely driven by the strategic importance of these minerals. Rare earths are critical components in various high-tech industries, including clean energy, defense, and electronics. By developing its own supply chain, Russia can secure a more stable and secure source of these crucial materials.

The development program will likely focus on exploring and developing domestic rare earth deposits, improving mining and processing technologies, and establishing partnerships with international companies. The timeline set by Putin suggests a sense of urgency, reflecting the growing importance of these resources in the global economy.

As the global demand for rare earth metals continues to rise, particularly driven by the transition to renewable energy, countries are increasingly investing in their own supply chains to ensure long-term security and independence. The Russian government's move is part of this broader trend, aiming to position the country as a significant player in the global rare earth market.

References:
[1] https://news.bloomberglaw.com/environment-and-energy/rare-earth-miner-aclara-gets-us-funding-for-brazil-project-1
[2] https://www.northernminer.com/news/critical-metals-tanbreez-ree-in-greenland-on-track/1003882127/