In a strategic move to bolster critical mineral supply chains, India’s Trade Minister Piyush Goyal and U.S. Commerce Secretary Gina Raimondo signed a memorandum of understanding (MOU) to enhance cooperation on lithium, cobalt, and other essential minerals crucial for electric vehicle batteries and clean energy production.
Signed in Washington during Minister Goyal’s visit, the agreement aims to build resilience in mineral supply chains between the two nations.
According to the U.S. Commerce Department, the MOU emphasizes collaborative efforts to identify technologies, equipment, and policies that will support joint ventures in mineral exploration, extraction, processing, and recycling. This partnership will allow the U.S. and India to strengthen the supply networks essential for a sustainable energy transition.
During an event at the Center for Strategic and International Studies, Goyal described the MOU as a multi-faceted partnership. He noted that while the agreement focuses on U.S.-India cooperation, it also opens doors for collaboration with mineral-rich countries in Africa and South America, essential for broadening the supply base.
The MOU, which was first reported on earlier in the week, does not establish a full-fledged trade agreement allowing India to access the $7,500 U.S. electric vehicle tax credit. However, it represents a step forward in the U.S.-India green energy partnership.