What are strategic minerals used for?
Advancing digitization has fueled the global demand for key technological products such as smartphones and laptops. Lithium and cobalt are amongst the most important raw materials for rechargeable energy storage. In fact, batteries were by far the leading end-use of lithium consumed worldwide, with a share of 74 percent in 2021. The lithium-ion battery has so far been irreplaceable in innovative electronic end products such as power tools, smartphones, laptops, and even electric cars.Tantalum is also a crucial material for electronic devices, mainly used in the production of electrolytic capacitors. In addition, both tantalum and tungsten can be combined with other metals to form superalloys and carbides, extremely resistant materials used in aircraft engines, turbine blades, and space vehicles, to name a few.
Where are strategic minerals mined?
One of the main factors associated with strategic minerals is their scarce availability, with reserves and production concentrated in a few countries. For example, the Democratic Republic of Congo was both the leading producer of cobalt and tantalum worldwide, with shares of 70.6 and 33 percent in 2021, respectively. Meanwhile, that same year, China held a whopping 83 percent of global tungsten production. This level of concentration puts these commodities’ supply chains constantly at risk of disruption from geopolitical conflicts. As such, many countries and regions like the United States, China, Australia, and the European Union have recently put policies in place with the intention of securing a reliable supply in the years to come, either by developing their domestic production or investing in projects overseas.
