Central Asia is rapidly gaining geopolitical significance due to its rich reserves of rare earth elements (REEs) and strategic minerals that are vital for modern technologies, green energy, and defense industries. As global powers intensify their competition for control over these critical resources, the region is transforming into a strategic focal point for economic and political influence.
According to the U.S. Geological Survey, Central Asia holds a vast share of the world’s strategic minerals: 38.6% of global manganese ore, 30.07% of chromium, 20% of lead, 12.6% of zinc, and 8.7% of titanium. It also possesses essential rare earth elements like scandium, yttrium, and lanthanides. Kazakhstan’s President Kassym-Jomart Tokayev has described rare earths as the “new oil,” underlining their importance to economic transformation and energy independence.
As the West seeks to reduce dependency on China, Central Asia has become a key alternative supply hub. The U.S. and EU are ramping up investments in the region’s mining sector. Initiatives like the Mineral Security Partnership (MSP), C5+1 Critical Minerals Dialogue, and Team Europe’s Global Gateway aim to build supply chain resilience. France’s Orano is investing $500 million in Uzbekistan, while the EU is backing green infrastructure and mining diversification projects in Kazakhstan and beyond.
The U.S., through ERICEN and TIFA, is promoting trade diversification and infrastructure investment, while the G7 has committed to investing $200 billion in Central Asia by 2027, with a focus on Kazakhstan.
Meanwhile, China continues to dominate with $63 billion in regional investments, primarily in mining and infrastructure. Through the Belt and Road Initiative (BRI), it holds strategic stakes in mining projects in Kazakhstan and Kyrgyzstan and is planning to build nuclear reactors to reinforce its grip on energy and resource supply chains. Russia maintains significant trade with Central Asia and leverages mining and energy collaborations to sustain its influence, including nuclear projects in Tajikistan.
Central Asian states are trying to strike a balance among competing powers. By shifting from raw material suppliers to value-added economies, they aim to strengthen sovereignty while maximizing the benefits of global interest. However, this balancing act comes with risks: environmental degradation, economic overreliance on foreign powers, and exposure to volatile commodity markets.
The sustainability of this multipolar strategy will shape the region’s economic future. Whether Central Asia can maintain autonomy amid intensifying competition or becomes caught between competing global giants remains a defining question for the coming decade.
