US-Gulf critical minerals ties grow in bid to weaken China’s grip on industry
## US-Gulf Critical Minerals Ties Grow in Bid to Weaken China’s Grip on Industry ### Strategic Context Saudi Arabia and the United Arab Emirates are becoming essential partners for the United States in its strategy to secure global supply chains of critical minerals. This cooperation aligns with Washington’s goal to reduce reliance on China, which currently dominates the production and processing of key minerals used in advanced technologies and renewable energy. ### Expanding Energy and Mining Partnerships Both Gulf states are investing heavily in mining ventures and critical mineral processing capacities. Their sovereign wealth funds are supporting large-scale projects designed to boost local refining, explore new deposits, and develop technologies for material recycling. At the same time, American companies are increasing their presence in the region, forming joint ventures and partnerships with Gulf-based firms. These collaborations focus on lithium, nickel, cobalt, rare earth elements, and other materials critical to the clean energy transition. ### The Role of “Friend-Shoring” Policy The US policy of “friend-shoring” promotes stronger supply chains among political and economic allies. As global demand for critical minerals grows, Washington views the Gulf as a stable, resource-rich region with the capacity to help diversify supply away from China. A key element of this strategy involves engaging regional financing mechanisms to support new investments and infrastructure, mitigating disruption risks in mineral flows. ### Broader Economic and Geopolitical Implications Gulf countries see opportunities to become global hubs for green industries, including electric vehicle production and renewable power. Aligning with US industrial policies also strengthens their diplomatic influence and diversifies their economies beyond oil. For Washington, these ties serve both economic and security objectives. By anchoring new mineral production and processing partnerships in allied states, the United States can reinforce its network of dependable suppliers and counterbalance Beijing’s dominance. *** > “Our shared interest lies in building secure, transparent, and sustainable mineral supply chains,” a US official noted during recent talks with Gulf partners. *** ### Author’s Summary The United States is deepening cooperation with Gulf states on critical minerals to reduce China’s control, ensuring resilient, allied supply chains for the global energy transition.

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Al-Monitor Al-Monitor — 2025-11-29

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