South Korea Eyes China for Rare Earth Supply Boost

South Korea is working to strengthen cooperation with China for critical mineral supply chains essential for advanced technologies. The plan includes establishing a hotline and joint committee for better import processes. Seoul also aims to diversify sources by engaging with other nations such as the US, Vietnam, and Laos.

South Korea is aiming to enhance its cooperation with China to secure crucial mineral supply chains, according to a statement from its trade ministry on Thursday. This effort is part of Seoul's broader strategy to ensure a stable supply of rare earths necessary for cutting-edge technologies.

The ministry outlined initiatives to create a hotline and joint committee with Chinese authorities, facilitating smoother and more reliable import processes for South Korean companies. Despite hosting leading semiconductor and electric-car battery firms, South Korea currently lacks a full supply chain for rare earths.

Seoul plans to designate 17 critical minerals vital for national security, tightening monitoring to avoid shortages. To reduce dependence on China, the country will collaborate with the US, Vietnam, and Laos. Additionally, $172.35 million in government funds will support local firms in developing overseas mines.

(With inputs from agencies.)