Clash Over Critical Minerals Sparks International Disputes
Disputes between governments and investors over critical mineral resources are at a decade high, fueled by resource nationalism and U.S.-China competition. The demand for minerals vital to technology and energy has led to an increase in arbitration cases, particularly in Latin America and Africa.
Disputes between governments and investors over critical mineral resources have reached a decade-long peak, according to law firm DLA Piper. This surge is driven by resource nationalism and escalating competition for essential minerals between the U.S. and China.
The demand for these minerals, crucial for advancing technologies from AI to electric vehicles, has significantly increased the number of arbitration cases. By 2025, 32 disputes have been submitted to the World Bank's arbitration body, surpassing last year's numbers, particularly notable in emerging economies reliant on oil and gas revenue.
Latin America, with 11 cases, stands out as a hotspot for disputes, with Colombia facing the highest count of four cases. This trend is mirrored in regions like Africa, rich in mineral reserves, with ten cases involving countries such as Niger, Tanzania, and the DRC.
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