It is widely believed that China has dominated the growing REE industry, and that it was much quicker than the United States to understand its strategic value. By 2019 China was supplying around 90% of global demand for the 17 REE powders. It also currently controls 70% of global rare earth processing capacity.

The global distribution of REEs and critical minerals – an accident of nature and geology - has been favourable to Latin America. The region is believed to control 65% of global lithium reserves, 40% of global copper deposits, and around 15% of REEs. In Argentina alone the assessment of lithium reserves has increased by a potential 40% thanks to recent geological exploration. Latin American countries with significant REE and critical minerals reserves include Brazil, Bolivia, Chile, Peru, and Argentina.

Perhaps the first question to ask about rare earth elements (REE) and critical minerals is what are they are and where they are? The US Geological Survey identifies around 50 “critical materials” judged to be essential for renewable energy projects, defence systems, and advanced manufacturing. REEs are a sub-set of this bigger group which are also used in applications such as mobile phones and wind turbines. Critical minerals also include lithium, copper, and nickel.

In October Nicaraguan civil rights groups expressed fresh concerns that Chinese mining firms are being allowed to operate in the country by the authoritarian government led by co-presidents Daniel Ortega and his wife, Rosario Murillo, without any respect for the environment or the rights of local indigenous communities.