Prime Minister Narendra Modi delivered a pointed statement on the growing risks posed by the weaponisation of critical minerals during a high-level meeting with Chinese President Xi Jinping, warning that such tactics represent a significant obstacle to sustained economic growth. The remark, made in the presence of China’s leader, was widely interpreted as a diplomatic signal aimed at addressing New Delhi’s concerns over supply chain dependency.
Critical minerals—including lithium, cobalt, rare earth elements and graphite—are indispensable for manufacturing semiconductors, electric vehicles, renewable energy infrastructure and defence equipment. China currently dominates the global extraction, processing and refining of these materials, controlling an estimated majority of supply routes. Modi’s intervention underscores India’s intent to challenge what it views as excessive concentration of leverage over resources essential for industrial and technological development.
The Prime Minister stressed that treating vital minerals as instruments of geopolitical pressure undermines predictable trade and discourages investment in clean-energy transitions and advanced manufacturing. By raising the issue face-to-face with President Xi, Modi placed the matter directly on the bilateral agenda, suggesting that New Delhi is willing to address supply-chain vulnerabilities through dialogue even as it pursues domestic alternatives.
India has recently accelerated efforts to secure critical mineral reserves through international partnerships, recycling initiatives and increased exploration. The government’s production-linked incentive schemes and strategic stockpiling plans aim to reduce exposure to any single supplier. Analysts note that Modi’s comments reflect a broader shift in India’s economic diplomacy: while maintaining engagement with China, New Delhi is actively diversifying sources and building resilience against coercive trade practices.
The discussion occurs against a backdrop of ongoing border tensions and competing regional ambitions. How both nations approach resource security could influence trade flows, technology transfer and the pace of green-industry expansion across Asia.
