WASHINGTON, Reuters Indian Trade Minister Piyush Goyal and U.S. Commerce Secretary Gina Raimondo signed an agreement on Thursday to cooperate on strengthening supply chains in the two countries for lithium, cobalt and other critical minerals used in electric vehicles and clean energy applications.
The Commerce Department said in a statement that the memorandum of understanding MOU, signed during Goyal39;s visit to Washington, was aimed at building resilience in the sector for each country.
Priority areas of focus include identifying equipment, services, policies and best practices to facilitate the mutually beneficial commercial development of U.S. and Indian critical minerals exploration, extraction, processing and refining, recycling and recovery, Commerce said.
Goyal, speaking at a Center for Strategic and International Studies in Washington after the signing, described the MOU as a multidimensional partnership that would include open supply chains for materials, technology development and investment flows to promote green energy.
He said the U.S. and India would also need to include third countries in their engagement, including mineralrich countries in Africa and South America.
The MOU, which Reuters first reported was in the works on Monday, falls far short of a full critical minerals trade deal that would allow India to benefit from the 7,500 U.S. electric vehicle tax credit.
Japan last year signed a deal with the U.S. Trade Representative39;s office that…