China and the Global Critical Minerals and Battery Supply Chain Landscape

Global investment in critical minerals exploration and mining has risen steadily in recent years as governments and industry prepare for accelerating demand from electrification and energy transition technologies. Exploration spending increased from around USD 4.9 billion in 2021 to roughly USD 6.8 billion in 2024, while mining investment climbed from about USD 35 billion to more than USD 50 billion over the same period, led by lithium, copper and nickel projects.

Upstream mineral supply is geographically diverse, with reserves and production distributed across regions including Australia, Africa and Latin America. Yet the broader battery ecosystem tells a different story. China holds comparatively modest shares of global reserves for many key minerals but remains a major mining producer in several segments and, far more importantly, dominates the midstream and downstream battery supply chain.

Chinese firms control large shares of global processing for materials such as graphite, manganese and phosphate, as well as precursor cathode materials and key battery chemistries including LFP and NMC. The result is a global battery value chain in which upstream mineral resources are internationally dispersed, but much of the industrial processing and manufacturing capacity remains heavily concentrated in China.