Clean energy technologies, computers, smartphones, and military readiness all rely on a handful of critical minerals that are in short supply. Growing demand is expected to lead to a global mining boom. Depending on how it is managed, this boom has the potential to either advance or undermine a range of social, economic, and environmental development goals.
Critical minerals have become a top national security priority due to their importance to the U.S. economy, high-level objectives on climate change, and U.S. military readiness. Additionally, the People’s Republic of China maintains a dominant position in both mining and mineral processing globally due, in part, to using non-competitive practices, including strategically targeting countries that have weak governance and are marred by corruption.
For USAID, critical minerals programming can advance our goals on climate change, biodiversity, conflict reduction, anti-corruption, economic growth, gender, and inclusive development. Mining operations can provoke conflict, violate human and labor rights, cause environmental degradation, worsen corruption, and exacerbate existing social inequities, especially in countries with weak governance. However, if these risks are proactively managed and companies commit to mining responsibly, mining can positively contribute to broad-based economic development.