Investment in critical minerals falls in 2025: IEA

The International Energy Agency (IEA) has reported a decline in investment for critical minerals such as lithium, cobalt, and copper during 2025. This downturn poses a significant risk to the industrial equipment supply chain, particularly for manufacturers of electric vehicles, industrial batteries, and renewable energy hardware. Procurement professionals should anticipate potential price volatility and lead-time delays for equipment that relies heavily on these raw materials.

The report also highlights a continued geographic concentration of supply chains, which could impact the availability of high-tech industrial components. To mitigate these risks, industrial buyers in the Middle East are advised to diversify their supplier base and consider increasing safety stocks of critical components, such as power electronics and high-capacity energy storage systems, to insulate against global supply shocks.