Current Affairs - International - Discussion

Australia signed an $8.5 billion critical minerals agreement with the U.S., aimed at reducing reliance on China for key minerals like lithium, nickel, and rare earth elements. The pact includes joint investment in mining and processing infrastructure, market stabilization measures, and reforms to speed up projects. It also features U.S. EXIM Bank support and plans for a gallium refinery in Western Australia. This deal strengthens strategic supply chains, supports defence and technology sectors, and reinforces Indo-Pacific security. It highlights the growing collaboration between the U.S. and Australia to secure critical resources while countering China’s dominance in the market.