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Asian Development Bank and World Trade Organization Secretariat Launch Trade in Critical Minerals Database

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Highlights

  • The Trade in Critical Minerals (TiCM) database provides comprehensive trade data for 250 critical minerals crucial for clean energy technologies.
  • The tool aims to improve transparency, collaboration, and decision-making in global critical minerals supply chains.
  • While offering significant potential for supporting renewable energy goals, the database faces challenges like data gaps and implementation barriers.

The Asian Development Bank (ADB) and the World Trade Organization (WTO) Secretariat have launched the Trade in Critical Minerals (TiCM) database, (opens in a new tab) a new tool designed to enhance transparency in the global trade of critical minerals. These minerals, such as lithium, cobalt, and rare earth elements, are crucial for producing clean energy technologies like batteries, wind turbines, and electric vehicles. By making trade data and policies easily accessible, the database supports the transition to cleaner energy and the development of sustainable and resilient supply chains.

The TiCM database compiles up-to-date trade information on 250 critical minerals and their associated products. It includes details on trade flows, tariffs, and trade policies sourced from WTO databases and platforms. Users can visualize data through bar charts, tree maps, and network graphs, providing insights into trading partners, trade networks, and specialization patterns across value chains. By doing so, the database aims to support better decision-making by among policymakers and stakeholders involved in clean energy and critical minerals supply chains.

How the Database Will Help

The TiCM database will be a vital resource for policymakers, businesses, and researchers, offering:

  • Transparency: It provides clear insights into global trade flows and policies for critical minerals.
  • Better Collaboration: Identifying trade networks and key partners can foster cooperation between countries and industries.
  • Informed Decision-Making: The database supports planning for sustainable and inclusive supply chains, which are essential for achieving renewable energy and efficiency goals by 2030.

Challenges to Address

While the database represents a significant step forward, challenges remain:

  • Data Gaps: The reliance on publicly available sources may leave gaps in trade data, especially from countries with limited reporting mechanisms.
  • Implementation: Converting insights into actionable strategies for building sustainable supply chains could face logistical, financial, or political hurdles.
  • Global Coordination: Ensuring all stakeholders, particularly in resource-rich but politically unstable regions, use the database effectively may require additional efforts.

Overall, the TiCM database is a powerful tool to aid the clean energy transition by enhancing transparency and collaboration in the critical minerals trade. However, overcoming challenges like incomplete data and implementation barriers will be crucial to fully realizing its potential.

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