Asian Countries Enter the Race for Critical Minerals Via Deep-Sea Mining

China has made headlines in the past year because of its activism and dominant position in the International Seabed Authority (ISA), a U.N.-mandated body that will be responsible for regulating the up-and-coming deep-sea mining industry. China single-handedly blocked ISA’s effort to initiate a precautionary pause on mining licenses, while 27 countries are calling for a moratorium.

Meanwhile, China also successfully conducted a trial with a new prototype of deep-sea mining vehicle to a depth of more than 4,000 meters, becoming one of a few countries to have achieved this engineering breakthrough. The achievement demonstrates China’s ability to operate at the depths required to mine polymetallic nodules that hold critical minerals from the abyssal floor (between 3,000-6,000 meters below the surface). This gets a step closer to possible deep-sea commercial mining.

However, in the global race for critical minerals, Asian countries beyond China are also asserting themselves as key players. These minerals, vital for emerging technologies like electric vehicles (EVs), clean energy solutions, and semiconductors, are now at the forefront of geopolitical and economic strategies. For example, EVs require approximately 210 kilograms of critical minerals per vehicle, a stark contrast to the 35 kilograms needed for a conventional internal combustion engine car.

This surge in demand has prompted countries across Asia to aggressively pursue these resources, either through international diplomacy or by venturing into deep-sea mining made possible by new technologies. This is an area previously accessible only to a few technologically advanced nations and where the environmental consequences remain unknown.

Traditionally dominated by China and Australia, the hunt for critical minerals is expanding as other countries recognize the urgency of securing their own supplies to reduce dependency on dominant producers. Technological advancements have made deep-sea mining a viable option, creating new opportunities for countries with ambitions to control their mineral supply chains. The seabeds are rich with minerals like copper, nickel, aluminum, manganese, zinc, lithium, and cobalt, all essential for the next generation of technologies.

Shifting the Balance: Mineral Diplomacy in Asia

Historically reliant on China for their mineral needs, several Asian nations are now taking steps to diversify their sources and reduce over-dependence on a single supplier. This shift is driven by two main concerns: the risk of over-reliance on China and the competitive edge China holds as a leading producer of new technologies, partly due to its control over critical mineral resources. The result is that some Asian nations are looking to diversify their resource access opportunities by seeking new partners in Africa and Latin America.

In June 2023, the inaugural Korea-Africa summit marked a significant step in mineral diplomacy, focusing on building ties with African nations to explore and develop critical minerals. Africa, home to 30 percent of the world’s known reserves of minerals like chrome, cobalt, and manganese, has become a strategic partner in these efforts. South Korea announced plans to establish a “critical minerals dialogue” to facilitate joint development projects, underscoring the importance of securing mineral resources for future technological advancements.

India, too, has been proactive in this space. In January, it signed an agreement with Argentina to explore lithium and other resources, a crucial move as lithium is a key component in EV batteries. India is also seeking partnerships (such as with Cote d’Ivoire and South Africa) across Africa and Latin America, regions rich in the minerals necessary for the country’s technological and industrial ambitions.

Additionally, Indonesia has made significant strides, with President Joko Widodo leading a tour of Africa aimed at strengthening ties in the mining and energy sectors. Agreements made during this tour and in 2024 further highlight Indonesia's commitment to securing critical mineral resources.

The Frontier of Deep-Sea Mining

As land-based resources become increasingly contested and difficult to access, deep-sea mining is emerging as a new frontier. Countries like Japan, South Korea, and India are actively pursuing opportunities in this sector, applying for exploration rights with the ISA. Japan, for instance, is planning to undertake mining projects within its extended continental shelf, while India has amended its Offshore Areas Mineral (Development & Regulation) Act to introduce auction methods for allocating offshore mining rights.

Domestic legislation is also evolving to accommodate deep-sea mining. Earlier this year, Norway became the first country to grant commercial deep-sea mining rights within its waters. India, following Norway’s lead, has begun public consultations on new regulations.

However, the political and environmental challenges associated with deep-sea mining cannot be overlooked. Smaller countries with access to vast seabeds, particularly Pacific Island countries, could leverage potential mineral deposits to gain favor with larger powers like China, the United States, and Australia. But these nations are also among the most vulnerable to climate change, and there is growing opposition to the exploitation of their marine ecosystems.

Mining may exacerbate environmental harms in fragile and threatened ecosystems by destroying natural landforms and animal habitats, impacting wildlife through the leaking of dangerous chemical and heavy metal contaminants and the introduction of noise pollution and stirring up sediment plumes around the mining project, among other impacts.

Fiji, Papua New Guinea, the Solomon Islands, and Vanuatu have collectively expressed their concerns, issuing a letter against deep-sea mining. The environmental risks posed by such activities are significant, especially for nations whose economies rely on fisheries and ecotourism. The backlash against deep-sea mining, particularly in domestic waters, suggests that while the technology is available, the political and environmental costs may deter widespread adoption.

A Competitive and Contested Future

As Asian countries position themselves in the race for critical minerals, the landscape of global mineral diplomacy is shifting. Countries like Japan, South Korea, and India are likely to intensify their diplomatic engagements, not only with Africa and Latin America but also with regions like Central Asia, which possesses large, untapped mineral deposits. Afghanistan, with its vast mineral wealth, could become a focal point of interest, though any engagement would have to navigate the complexities of dealing with the Taliban government.

The deep-sea mining sector, meanwhile, remains in a state of regulatory flux. While the expiration of the ISA’s initial deadline in July 2023 allows companies to submit mining applications, the approval process is still subject to stringent oversight, making it unlikely that any licenses will be granted before 2025.

The geopolitical implications of deep-sea mining, particularly in disputed regions, are also a concern. For example, India’s application to explore the Afanasy-Nikitin Seamount in the Central Indian Ocean may conflict with Sri Lanka’s aspirations to expand its maritime boundaries, potentially leading to disputes over resource rights.

As the race for critical minerals intensifies, Asian countries are increasingly looking to secure their own supplies through both traditional and innovative means. Whether through diplomatic engagements or venturing into the deep-sea mining, these countries are positioning themselves to play a significant role in the global supply chains of the future. However, the challenges – both political and environmental – are considerable, and the path forward will require careful navigation.