Australia and Japan have elevated critical minerals to a central pillar of their economic security partnership, signalling deeper cooperation across supply chains, investment and project development.
The move forms part of a new joint declaration between the two countries’ prime ministers, which positions critical minerals as a key driver of strategic coordination spanning advanced manufacturing, the energy transition and broader economic resilience.
Japan Prime Minister Sanae Takaichi has met with Australian counterpart Anthony Albanese during a three-day visit to Australia.
Australian Prime Minister Anthony Albanese said Japan has been a long-standing partner in the development of Australia’s critical minerals sector.
Federal Resources Minister Madeleine King said Japan’s long-standing investment had played a key role in shaping Australia’s resources sector.
“Sustained, trusted, constant investment from Japan is a cornerstone of the global powerhouse that is the resources sector of Australia,” King said.
Both governments acknowledged growing concerns around the concentration of global critical minerals supply chains and their impact on downstream industries, committing to strengthen collaboration on investment and diversification.
Australia and Japan will prioritise strategic projects targeting vulnerabilities across mining, refining and downstream manufacturing, with a focus on strengthening supply chain security.
The Australian Government is supporting critical minerals projects involving Japan with up to $1.3 billion through the Critical Minerals Facility and Export Finance Australia (EFA), including non-binding Letters of Support. Japan has also committed approximately $370 million in investments and grants via the Japan Organization for Metals and Energy Security (JOGMEC), with further funding planned as projects progress.
These include the Lynas Rare Earths project, which has been backed by Japanese financing since 2011 and recently achieved a milestone with the commencement of heavy rare earth production.
Alcoa’s gallium recovery project in Western Australia is also progressing, targeting supply for semiconductors, LEDs and solar cells, while the Magnium magnesium project is advancing plans for low-carbon magnesium production for automotive and aerospace applications.
Other initiatives include Tivan’s Speewah fluorite project in Western Australia, aimed at producing acid-grade fluorite for use in semiconductors and electric vehicles, and RZ Resources’ Copi project in New South Wales, which is focused on mineral sands and rare earth elements.
King said the strengthened partnership would support long-term economic and strategic outcomes for both countries.
“Working together with Japan we are building a new era for our resources sector that will support both our economies and our shared security for generations to come.”
Looking ahead, both governments have committed to identifying additional priority projects through business missions and closer engagement between miners, investors, financiers and offtake partners.