Mexico's Move to Build Critical Minerals Supply Chains

Critical minerals have become a key commodity in recent years, but supply chains have proven themselves to be volatile.

2025 demonstrated the dangers of a singe source point, with critical minerals becoming a weapon for trade negotiations.

Now, Mexico is looking to gain access to 13 critical minerals through a series of international negotiations. 

Building mineral supply chains

Critical minerals are raw materials that are critical for global economies, often including technology-critical elements, rare-earth elements or strategic materials. Though the definition of 'critical' varies from country to country, there are some core materials which are sought-after around the world.

As a result of trade tensions in 2025, countries around the world are looking to diversify their global supply chains and reduce dependence on China for rare earths. China currently controls approximately 70% of refining capacity and 91% of rare earth processing, making it a key player for supply chains. 

Now, however, Mexico is one of the many countries seeking access to critical minerals in order to reduce reliance on a single source. Through World Trade Organisation (WTO) negotiations and a US-led alliance, Mexico aims to gain access to 13 critical minerals. This will secure its inputs for the country's defense, automotive, electronics and energy sectors. 

Mining companies, manufacturers, investors and trade partners are all affected by shifting trade policies and relations, particularly as geopolitical competition continues. Through negotiations, Mexico aims to gain access to minerals it lacks or produces in small quantities, while also aiming to strengthen its position as a producer of other strategic minerals. 

The minerals it seeks are: aluminum, cadmium, cobalt, chromium, germanium, iridium, lithium, nickel, palladium, platinum, tantalum, titanium and vanadium.

All supply chain, sustainability, Scope 3 and net zero leaders should attend:

• Procurement and Supply Chain LIVE: The Net Zero Summit - QEII Centre, London, March 4-5
• Procurement and Supply Chain LIVE: The US Summit - Navy Pier, Chicago, April 21-22

Co-located with Sustainability LIVE, these events brings together CSCOs, CSOs and senior decision-makers at a moment when sustainability, supply chains and commercial performance are increasingly interconnected.
Tickets can be booked online today for The Net Zero Summit and The US Summit. Group discounts available.

An alliance-based framework

Mexico currently ranks within the leading global producers of eight of the 60 minerals that the US Geological Survey has identified as critical. These minerals are classified by their economic and strategic importance, particularly for batteries, electronics and defence, but also their exposure to supply chain risks. 

According to the USGS, Mexico is one of the leading producers of antimony, barite, copper, fluorite, graphite, lead, silver and zinc. Though it is looking to source lithium, it has been identified in northern states of Mexico, suggesting that it requires the technology to be able to extract it. 

The US convened the Inaugural Critical Minerals Ministerial in early February, bringing together 55 nations to create a formal trade zone for strategic minerals. This demonstrates a shift towards an alliance-based framework that shields economies from pricing volatility and supply shocks. It is one of the many forums Mexico is participating in to secure this supply.

"The instruction I have is to guarantee the supply of critical minerals for Mexico," says Marcelo Ebrard, Secretary of Economy of Mexico.

The need for diversification

Critical minerals have a major importance to many of the every day items used around the world, making them a key player in global supply chains and highly-desired commodities. Rare earths in particular, 17 metallic elements, are vital in modern manufacturing due to their use in smartphones, solar panels, wind turbines and electric vehicles. Despite this, global supply chains heavily rely on China for production. 

The IEA’s Global Critical Minerals Outlook 2025 shows that China is the dominating presence in refining 19 out of 20 key minerals. Through trade tensions in 2025, export restrictions led to shortages, price spikes and and supply chain risks. Businesses across semiconductor manufacturing, electric vehicle manufacturers and the defence sector have seen issues caused by this limitation.

Diversifying is slow, particularly as emerging competitors do not have the scale or speed to meet demand. However, as more countries, like Mexico, begin to invest outside of China, innovations may lead to a competitive minerals market.