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American Resources Policy Network
Promoting the development of American mineral resources.
  • A Look North: Challenges and Opportunities Relating to Canada’s Critical Mineral Resource Dependence on China

    Like the United States, Canada has subjected itself to an “increasingly uncomfortable reliance” on China for critical mineral supplies, but its wealth of metals and minerals beneath the country’s soil could, if properly harnessed, give Canada a significant strategic advantage in years to come, mining executives and experts recently told Canada’s House of Commons resource committee.

    The hearings were held against the backdrop of deteriorating diplomatic relations between Canada and China over the detention of two Canadian citizens which has laid bare China’s willingness to “inflict economic pain by restricting Canadian exports,” writes Jesse Snyder for the National Post.

    Pierre Gratton, head of Canada’s mining association, told policymakers:

    “For decades, China has held monopoly-like control over critical minerals production and distribution, rendering the rest of the world reliant on procurement and creating a level of risk that deters investors from entering these markets.”

    Gratton and others urged the creation of a “framework to develop and then protect Canadian supply chains for batteries and other products, and recommended the federal government establish a $250-million program over five years to incentivize investment in demonstration projects.” As China is increasingly demonstrating its willingness to play politics with its monopoly-like position in the critical minerals realm, experts also stressed the importance of strengthening ties with allies like Europe, the United States and Japan.

    Having faced criticism over its handling of Chinese takeovers of Canadian natural resource assets, Industry Minister Francois-Phillipe Champagne updated the guidelines and lowered the threshold for a national security review for such procedures. The move followed the release of Canada’s first critical minerals list – a list of 31 metals and minerals deemed critical “for the sustainable economic success of Canada and our allies—minerals that can be produced in Canada, are essential to domestic industry and security and have the potential to support secure and resilient supply chains to meet global demand.”

    Unlike its U.S. peer, Canada’s list, as we recently pointed out, acknowledges the importance of what we consider traditional mainstay metals like Copper, Nickel and Zinc — which, as followers of ARPN well know, are not only key components of 21st Century technology in their own right, but are also gateway metals that “unlock” a slew of other critical metals and minerals.

    With the Biden Administration having made significant investments in EV battery technology a central piece of its infrastructure overhaul plan, relations with close allies are taking center stage. And with the U.S. and Canada having long shared a special relationship and integrated defense industrial base, it only comes naturally that our first look faces North, as the U.S. steps up efforts to diversify critical mineral supply sources and processing away from China. Recent meetings between U.S. Department of Commerce representatives and miners and battery manufacturers to discuss “ways to boost Canadian production of EV materials” point towards increased U.S.-Canadian cooperation, as do increased consultations between the two countries’ Geological Surveys.

    For all of these reasons, we’ll keep tabs on resource-related developments in Ottawa and the buildout of the U.S.-Canadian integrated critical mineral supply chain as it begins to shape up, and will include examples from Canada in our forthcoming “Sustainably Greening the Future” roundups featuring mining companies’ efforts to “close the loop” and cut carbon emissions while supplying America’s mineral needs.

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  • Canada’s Just-Released List of 31 Critical Minerals Includes Key Gateway Metals

    As demand for critical minerals is increasing in the context of the global shift towards a green energy future, Canada’s Minister of Resources Seamus O’Regan Jr. earlier this week announced the release of a Canadian list of 31 metals and minerals deemed critical “for the sustainable economic success of Canada and our allies—minerals that can be produced in Canada, are essential to domestic industry and security and have the potential to support secure and resilient supply chains to meet global demand.”

    A result of extensive collaboration and consultation of various levels of government and the private sector, the list prioritizes building an industrial base for the low-carbon, digitized economy, and provides greater certainty and predictability to industry, trading partners and investors on what Canada has to offer.

    While slightly shorter, the Canadian list largely mirrors its U.S. peer — the list of 35 minerals deemed critical to the United States’ economic and national security well-being as released by the U.S. Department of the Interior in 2018.

    A significant difference, however, is that Canada’s list acknowledges the importance of what we would consider traditional mainstay metals like Copper, Nickel and Zinc — which, as followers of ARPN well know, are not only key components of 21st Century technology in their own right, but are also “gateway metals” that “unlock” a slew of other critical metals and minerals.

    (for reference, see ARPN’s “Through the Gateway” report here.)

    During the public comment period for the U.S. critical minerals list, ARPN’s Daniel McGroarty provided comments advocating the inclusion of the above-referenced gateway metals the processing of which in turn yields access to Cobalt, Arsenic, Rhenium, Tellurium, REEs, PGMs, Indium and Germanium. (Read his comments here).

    The release of Canada’s critical minerals list is an important signal that Canada — one of the United States’ closest allies next to Australia when it comes to challenging China’s critical mineral supply chain dominance – grasps the connection between primary mining materials and their critical co-products. Here’s hoping that the inclusion of Copper, Nickel and Zinc in the Canadian list will also prompt the drafters of a forthcoming updated U.S. critical minerals list to acknowledge the importance of Gateway Metals.

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  • Event Alert: “Critical Minerals Forum 2021” – A February Webinar Series on Critical Mineral Research

    It’s 2021, and the wild ride 2020 has taken us on continues. There were quite a few developments in the critical minerals realm over the past few months (for a recap see our two summary posts here and here, but if you thought things were about to slow down, you might be wrong. While emphases [...]
  • Has Canada Just Jump-Started its Electric Vehicle Sector? – A Look at the Recent Ford Canada Labor Deal Through the Prism of an Integrated North American Value Chain

    From a U.S. perspective, arguably the biggest news in the critical minerals sector in recent weeks has been U.S. President Trump’s latest executive order on critical minerals, which, according to analysts, is the first one in this field “that has the potential to bring some meaningful changes.” Aside from calling on the Department of the [...]
  • Europe Comes to Terms with Mineral Supply Challenges, Unveils Action Plan

    As the U.S. explores its options when it comes to diversifying our critical minerals supply chains away from China in the wake of COVID-19, Europe is coming to grips with its own mineral supply challenges. According to European metals association Eurometaux, the region “has reached a critical fork in the road,” as it grapples with [...]
  • Russia Pushes for Global Rare Earth Market Share as U.S. Struggles to Move Forward With Critical Minerals Initiatives

    Russia is certainly making headlines this week.  Quite obviously, much of the media attention is focused around President Vladimir Putin’s declaration that Russia has approved a vaccine for the coronavirus (after less than two months of testing) — but developments in the critical minerals realm also warrant attention: A top Russian government official has told [...]
  • U.S.-Canadian Critical Minerals Collaboration Moves Into Next Round

    It’s official. On January 9, 2020, the governments of the United States and Canada formally announced the finalization of the Canada-U.S. Joint Action Plan on Critical Minerals Collaboration to advance “our mutual interest in securing supply chains for the critical minerals needed for important manufacturing sectors, including communication technology, aerospace and defence, and clean technology.” [...]
  • India and the Tech Wars: Ripple Effects of the Confrontation over Who Will Dominate the 21st Century Tech Age

    While most of the headlines regarding the trade war between the United States and China — and, for ARPN followers, the underlying tech war over who which country will dominate the 21st Century Technology Age — focus on the main players in Washington, DC and Beijing, the ripple effects of this confrontation can be felt [...]
  • Canada and U.S. to Draft “Joint Action Plan” on Rare Earths / Critical Minerals

    After years of missed opportunities to prioritize mineral resource policy, the U.S. government is stepping up its efforts to secure critical mineral resource supply chains.   The latest case in point is the drafting of a “joint action plan” with our neighbors to the North to reduce reliance on Chinese supplies of Rare Earth Elements (REEs) — which, [...]
  • ARPN’s McGroarty: Trade War Between U.S. And China One Front in Larger Tech War for Dominance of 21st Century Technology Age

    “The specter of using rare earths as an economic weapon makes clear that the current trade war between the U.S. and China is in fact one front in a larger tech war – a competition to see which country will dominate the 21st Century Technology Age,” says ARPN principal Dan McGroarty in a new piece [...]

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