Fatih Birol, head of the International Energy Agency (IEA), recently expressed alarm over China’s excessive stranglehold on the market for strategic minerals. He put a fine point on these qualms during a recent global energy premiere. It was hard to know that the event on August 27 would be so special. It was featured as part of the World Climate Industry Expo in Busan, South Korea. Birol’s comments underline the urgent call for greater cooperation between countries. By working together, they can make supply chains more diverse and reduce reliance on any single country for vital materials.
Indeed, during his remarks, Birol acknowledged that China’s dominance in strategic minerals poses formidable dangers. All of these risks pose a threat to both global energy security and economic stability. He noted that almost all countries depend on these minerals. They are essential for establishing the industries and technologies that will power the clean energy transition. The IEA chief argued that to ensure a secure supply of these materials, nations must work together to develop alternative sources and enhance resilience in their supply chains.
Birol’s call to action is intended to provoke a concerted global response from governments, businesses, and civil society. He thinks that collaboration is essential to developing more resilient supply chains. These should-be resilient systems are much less vulnerable to international arms races and market volatility. By diversifying sources of strategic minerals, countries can mitigate the risks associated with over-dependence on China, which currently dominates the production and processing of many key materials.
The leaders in the World Climate Industry Expo join forces to focus on pressing issues in the age of climate change. It encourages conversations around the implications of sustainable development. Birol’s involvement in this important event highlights just how urgent the time is to tackle energy security against the backdrop of continued upheaval globally. His observations are further indicative of an encouraging trend among policymakers to understand the interconnectedness of energy resources and national security.