Highlights International news

India-Japan Critical Minerals Cooperation Targets Africa

India and Japan are exploring India-Japan Critical Minerals Cooperation in Africa to diversify global supply chains and strengthen economic security. The proposed partnership would combine Africa’s mineral resources, India’s processing and industrial capabilities, and Japan’s capital and technology. Existing rare-earth and liquefied natural gas (LNG) projects offer examples of how the three regions could work together.

The initiative could extend beyond minerals to digital infrastructure, healthcare, green energy and transport connectivity. India and Japan also see opportunities to support local processing, skills development and technology transfer in African countries.

India-Japan Critical Minerals Cooperation and Supply Chain Diversification

Concerns over the concentration of global rare-earth refining capacity in China have increased interest in alternative supply chains. According to an analysis published by The Diplomat, India and Japan could collaborate with African countries on mineral exploration, processing and value addition.

Changes in international development assistance have also encouraged African nations to diversify their economic partnerships. However, successful cooperation will depend on aligning the interests of resource-producing countries with those of investors. Local value addition, employment, skills development and technology transfer will remain important to ensuring that African economies benefit from these projects.

Rare-Earth Partnership Links Angola, India and Japan

A potential model emerged in June 2025, when UK-listed Pensana Plc and Japan’s Toyota Tsusho Corporation signed a memorandum of understanding on rare-earth supplies from the Longonjo mine in Angola.

The non-binding MoU proposed offtake of up to 20,000 tonnes of mixed rare-earth carbonate annually over five years. It envisaged processing the material at Toyota Tsusho’s Toyotsu Rare Earth India facility in Visakhapatnam before supplying Japanese magnet manufacturers.

The proposal illustrates how African mineral production, Indian processing capabilities and Japanese industrial demand could form part of a diversified supply chain. However, the MoU represents a proposed arrangement rather than confirmation of completed commercial deliveries.

Energy Cooperation Offers an Established Model

India-Japan cooperation in Africa also extends to energy infrastructure. Mozambique’s LNG project, operated by TotalEnergies, has a planned capacity of approximately 13.12 million tonnes of LNG annually.

Indian companies and Japan’s Mitsui hold stakes in the project. According to ONGC Videsh, the consortium includes Indian interests through ONGC Videsh and Bharat PetroResources, alongside Mitsui and other partners.

The project provides an example of cross-border investment involving Indian and Japanese interests in Africa’s energy sector. Similar cooperation could create opportunities in critical minerals, logistics and infrastructure across East and Southern Africa.

Expanding India-Japan Critical Minerals Cooperation

Closer cooperation could help diversify supplies of materials used in electric vehicles, renewable energy and advanced manufacturing. It could also open opportunities for investment in mineral processing and supporting infrastructure.

Existing rare-earth and LNG projects provide a basis for further collaboration, but future expansion will depend on commercially viable proposals and effective implementation. African countries will also need to secure tangible benefits through local value addition, employment, infrastructure development and technology transfer.

A broader trilateral approach could therefore connect Africa’s resource base with India’s industrial capabilities and Japan’s investment and technology. Its long-term value will depend on building partnerships that support supply-chain resilience while advancing the economic priorities of African countries.

Team BU

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