India and Brazil sign a landmark deal on critical minerals and rare earths, aiming to reduce reliance on China and build resilient global supply chains.

NEW DELHI: India and Brazil have agreed to boost cooperation on critical minerals and rare earths.

Prime Minister Narendra Modi announced the pact after talks with Brazilian President Luiz Inacio Lula da Silva.

“The agreement on critical minerals and rare earths is a major step towards building resilient supply chains,” Modi said.

Brazil holds the world’s second-largest reserves of these minerals, which are vital for electric vehicles and smartphones.

India has been actively seeking new suppliers to cut its dependence on top exporter China.

“Increasing investments and cooperation in matters of renewable energies and critical minerals is at the core of the pioneering agreement that we have signed today,” Lula said.

The specific details of the deal were not immediately available.

Nine other agreements were also finalised, touching on digital cooperation and health.

“Brazil is India’s largest trade partner in Latin America,” Modi stated.

He committed to taking bilateral trade beyond USD 20 billion in the coming five years.

Lula arrived earlier in the week for an artificial intelligence summit, accompanied by a large ministerial delegation.

Expert Rishabh Jain said the partnership complements India’s recent engagements with the US and EU.

“Global South alliances are critical for securing diversified, on-ground resource access,” Jain told AFP.

Bilateral trade between the nations topped USD 15 billion in 2025.

Key Brazilian exports to India include crude oil, sugar, and iron ore.

India’s Foreign Minister expressed confidence the talks would impart new momentum to ties.

Modi also highlighted growing cooperation in the defence sector.

“When India and Brazil work together, the voice of Global South becomes stronger,” he added.

Brazilian firms like Embraer are expanding in India, with recent plans to build aircraft locally.

Lula addressed an AI summit in Delhi, calling for inclusive global governance of the technology.

He will next travel to South Korea for further meetings.

 The Sun Malaysia