India and the United States (US) agreed to work more closely on critical minerals after a meeting between Finance Minister Nirmala Sitharaman and US Treasury Secretary Scott Bessent. The leaders met on the sidelines of the G20 Finance Ministers and Central Bank Governors meeting in Asheville, North Carolina, and placed critical minerals and secure supply chains at the centre of the India-US economic dialogue. The discussion underlined shared interest in strengthening resilience for minerals that are essential to advanced manufacturing and clean energy technologies.

Sitharaman invited Bessent to visit New Delhi later this year for the India-US Economic and Financial Partnership (EFP) meeting, which the two sides envisaged as an opportunity to review economic and financial cooperation. The proposed visit is expected to provide officials from both governments a forum to identify areas in which the partnership could be expanded and to consider practical measures for supply chain security. Both parties committed to expanding cooperation across several areas, signalling a broad agenda beyond mineral supplies.

The agreement sets a framework for closer consultation on mapping resource endowments, identifying processing capacity and coordinating investment to strengthen downstream capabilities. Officials indicated that attention would be given to improving logistical links, regulatory alignment and measures to encourage private sector participation in value chains. This approach is intended to complement existing bilateral initiatives on trade and investment while reducing vulnerability to concentrated sources of supply.

Observers noted that follow up work at the EFP meeting and subsequent engagements will be important to translate commitments into concrete projects, partnerships and timelines. Industry participants involved in mining, processing and manufacturing are likely to monitor developments as governments seek to attract investment and enhance capacity without immediate disruption to current trade relations. New Delhi and the US will continue consultations aimed at building secure, diversified and resilient supply chains for critical minerals.