The global race for critical minerals has become a driver of armed conflict and exploitation in resource-rich developing nations, even as these countries miss out on the economic transformation their natural wealth should provide, World Trade Organization Director-General Ngozi Okonjo-Iweala warned the U.N. Security Council on Wednesday.
She described the surge in demand for lithium, cobalt, nickel and rare earths as "a once-in-a-lifetime chance" for African nations and other developing regions to harness mineral wealth and improve life for millions. But that opportunity has been squandered too often, with violence and poverty following extraction instead of prosperity.
Strategic Competition Leaves Poor Nations Behind
Okonjo-Iweala told the Security Council that "critical minerals are increasingly viewed as strategic assets, not just commodities, and a major source of interstate competition." Major economies aren't just buying these minerals. They're racing to secure supplies of materials needed for everything from smartphones to fighter jets, using access as geopolitical leverage.
That competition creates a troubling pattern where developing economies get locked into the lowest level of production—raw extraction—while "the highest value jobs, technologies and profits go elsewhere," she said. It's a familiar story of exploitation dressed up in new technology.
Conflict Zones Bear Human Cost
U.N. Secretary-General Antonio Guterres pointed to eastern Congo, where armed groups have reaped benefits from illegal mining and mineral smuggling while "civilians have paid the price of ongoing conflict." Congo accounts for over 70% of global cobalt production, a mineral essential to electric vehicle batteries and the green energy transition.
In Sudan, Guterres said the bitter fight between government and paramilitary forces has been fueled by exploitation of natural resources, especially gold and gum arabic used in printing, paints, glues, cosmetics and other industries. That resource competition has led to atrocities and displaced millions.
"The minerals beneath Africa or any developing region's soil should never help to finance the conflicts above it," Okonjo-Iweala said.
A Path to Shared Prosperity
She outlined three priorities to reverse the pattern of extraction without development. Resource-rich developing countries should demand more local processing, refining and "value addition" rather than shipping raw materials abroad. The international rule of law needs strengthening. And resource-rich countries should work together, using their collective leverage to promote investment and reverse the colonial-era pattern of exporting raw materials and importing finished goods.
The stakes couldn't be higher. "The world cannot achieve energy security, the green transition or digital transformation without them," Okonjo-Iweala said. Africa alone holds roughly 30% of the world's critical minerals, and less than half of its mineral reserves have been explored.
South Africa holds the world's largest reserves of platinum and manganese. Zambia and Congo are major copper producers. Between 10 and 12 African countries have commercially exploitable reserves of lithium, and 15 to 20 have commercially exploitable deposits of rare earths.
Okonjo-Iweala said there's a real opportunity to create "a more diversified, inclusive, and win-win global economy" where mineral wealth becomes a catalyst for economic transformation rather than just another resource to extract.
Why This Matters:
The scramble for critical minerals exposes how the global economy still operates on extractive patterns that leave resource-rich developing nations impoverished while wealthy countries capture the value. As the world transitions to green energy and advanced technology, these minerals become more essential—but without deliberate policy changes, African and other developing nations will remain trapped as raw material suppliers while manufacturing jobs, technological advancement, and wealth accumulation happen elsewhere. The human cost is already visible in Congo and Sudan, where mineral wealth finances armed groups and displacement rather than schools, hospitals, and infrastructure. Whether this moment becomes an opportunity for shared prosperity or another chapter of exploitation depends on whether international institutions can enforce fair trade rules and whether developing nations can leverage their collective bargaining power to demand processing facilities, technology transfer, and equitable partnerships. The choice isn't just economic—it's about whether millions of people in mineral-rich regions will benefit from the resources beneath their feet or continue paying the price for them.