India, US sign MOU to cooperate on critical battery mineral supply chains

The Commerce Department said, “Priority areas of focus include identifying equipment, services, policies and best practices to facilitate the mutually beneficial commercial development of U.S. and Indian critical minerals exploration, extraction, processing and refining, recycling and recovery,” according to news agency Reuters.

Commerce Minister Piyush Goyal, who spoke about the MOU at Center for Strategic and International Studies in Washington, said that it is a multi-dimensional partnership between the two countries which is going to be inclusive of open supply chains for materials, technology development and investment flows to promote green energy.

Goyal further elaborated the need for Indian and the US to include other countries in the partnership, especially those who are already mineral rich like countries in Africa and South America.

The MOU between India and US would still fall short of a full critical minerals trade deal that would have allowed India to explore the $7,500 US electric vehicle tax credit.

Last year, Japan signed a deal with the  US Trade Representative’s office and it has allowed the Japanese automakers to fully participate in the credit, Reuters reported.