Critical minerals will determine global economic competitiveness

Jakarta (ANTARA) - The Ministry of Energy and Mineral Resources (ESDM) has stated that critical minerals will become a determining factor in global economic competitiveness, necessitating that Indonesia manages its mineral and coal resources optimally, sustainably, and with added value.

“Critical minerals will be one of the primary determinants of global economic competitiveness in the future,” said Cecep Mochammad Yasin, Director of Mineral Business Development at the Directorate General of Minerals and Coal, Ministry of ESDM, in Jakarta on Wednesday.

According to him, the world is currently in a very dynamic period of change, where geopolitical tensions, global supply chain disruptions, climate change, and the acceleration of the energy transition have fundamentally altered the global energy and mineral landscape.

He noted that in the current situation, energy security is no longer just about energy availability, but also a nation’s ability to control strategic resources that serve as the foundation for future technologies.

Furthermore, Indonesia possesses tin reserves equivalent to 22 years with an annual production of 65,000 tonnes, making Indonesia the holder of the second-largest tin reserves in the world.

“Additionally, we have the fourth-largest bauxite reserves in the world, as well as sufficient reserves of copper, gold, silver, and iron,” said Cecep during his speech at the Critical Minerals Dialogue organised by Indef.

He added that Indonesia also holds the world’s largest coal reserves, which continue to play a vital role in maintaining national energy security.

“Global trends show a change in the structure of energy needs; demand for critical minerals such as lithium, cobalt, graphite, copper, and rare earth elements is expected to continue increasing until 2040 to support the development of electric vehicles, batteries, renewable energy, and modern power grids,” he concluded.