Washington, Feb 4, (NationPress): US Secretary of State Marco Rubio expressed concerns on Wednesday that the global supply chains for critical minerals are alarmingly centralized in one nation, labeling this scenario as a significant geopolitical risk. This statement comes as Washington embarks on a renewed effort to diversify sourcing through partnerships with 55 international allies.

During a press briefing at the Critical Minerals Ministerial, Rubio outlined that the initiative aims to mitigate vulnerabilities that could hinder economic growth, technological advancement, and national security.

“The Critical Minerals Ministerial is off to an excellent start. We are collaborating with 55 partners, many of whom have already committed, with a straightforward objective,” he stated.

India was represented at the conference by External Affairs Minister S Jaishankar.

Rubio criticized policymakers in developed nations for neglecting the necessity of securing raw materials. “We became enamored with the design of these products but forgot that to create something, we must first be able to construct it, which requires fundamental materials,” he elaborated.

He emphasized that current supply chains are excessively concentrated in one nation, posing risks that extend beyond mere economics. “In a worst-case scenario, this could be manipulated as a leverage tool in geopolitical affairs,” Rubio remarked, highlighting that global disruptions like pandemics or political turmoil could also disrupt supplies.

Rubio mentioned that while many nations have access to critical minerals, they struggle to develop them due to unfair competition. Foreign competitors often lower prices through state subsidies, rendering mining and processing economically unfeasible. “Private sector investment is stifled because competitors undercut costs to gain market dominance,” he noted.

He cautioned that if one entity monopolizes the market, the repercussions could be severe. “When they dominate the industry and are the sole global players, they can dictate prices at will,” Rubio explained, adding that such monopolistic control could be utilized for leverage or be susceptible to global disruptions. “This is an unsustainable predicament,” he asserted.

Rubio highlighted that the United States is striving to set an example through domestic reforms and fresh demand signals. He referenced permitting reforms and President Donald Trump's announcement of a strategic stockpile of critical minerals. “We recognize that this is a global challenge requiring a collective response,” he stated.

He announced the initiation of the FORGE initiative, noting that several countries have already joined, with more anticipated. Rubio stated that U.S. agencies, including the Development Finance Corporation and the Export-Import Bank, will provide financing solutions for investments in critical minerals, with Treasury Secretary Scott Bessent concluding the ministerial later that day.

“We plan to finalize new frameworks for critical minerals with several partners today,” Rubio remarked, calling the gathering historic and referencing “the billions of dollars the United States government has already allocated towards this cause.”

Regarding Ukraine, Rubio noted that technical military teams from both Ukraine and Russia are meeting in a forum involving the United States.

“For the first time in a long time, we have technical military teams from Ukraine and Russia convening,” he stated. While urging caution against premature conclusions, Rubio mentioned that the number of unresolved issues has decreased. “That list has been notably shortened,” he observed, adding that the remaining issues are the most challenging.

Rubio highlighted that critical minerals will be pivotal to Ukraine’s recovery. “This war will eventually conclude. When it does, Ukraine must utilize all the resources at its disposal to rebuild,” he said.

In response to inquiries regarding Iran, Rubio indicated that President Trump is open to dialogue. “We do not perceive meetings as concessions,” he said, asserting that any substantial discussions must address missiles, terrorism, the nuclear agenda, and the treatment of the Iranian populace.

Rubio also emphasized the importance of partnerships with countries like Argentina and Morocco, asserting that no nation can fulfill its needs independently. “No country possesses every critical mineral that is essential,” he said, underscoring the necessity for international collaboration.