Arab, Foreign Ministers Stress Importance of Roadmap for Future of Global Mining

Arab and international ministerial meetings on mineral wealth and mining are hosted in Riyadh in conjunction with the launch of the Future Minerals Forum on Wednesday. (Asharq Al-Awsat)
Arab and international ministerial meetings on mineral wealth and mining are hosted in Riyadh in conjunction with the launch of the Future Minerals Forum on Wednesday. (Asharq Al-Awsat)
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Arab, Foreign Ministers Stress Importance of Roadmap for Future of Global Mining

Arab and international ministerial meetings on mineral wealth and mining are hosted in Riyadh in conjunction with the launch of the Future Minerals Forum on Wednesday. (Asharq Al-Awsat)
Arab and international ministerial meetings on mineral wealth and mining are hosted in Riyadh in conjunction with the launch of the Future Minerals Forum on Wednesday. (Asharq Al-Awsat)

As Riyadh is hosting this Wednesday the Future Minerals Forum, under the patronage of Custodian of the Two Holy Mosques King Salman bin Abdulaziz, Arab and foreign ministers underlined the importance of adopting a roadmap based on major axes, to maximize the benefits of the mining sector and supply chains, with the aim to achieve economic prosperity.

This came during the 8th Consultative Meeting of Arab Ministers for Mineral Resources, which was organized on Tuesday by the Saudi ministry of industry and mineral resources and the Arab Industrial Development, Standardization and Mining Organization (AIDSMO), with the participation of 25 heads of delegations and officials, representing more than 30 Arab and foreign countries.

Ministers and Delegations

Participants at the meeting called for strengthening cooperation and coordination between governments, their partners in the private sector and civil society, to work together to achieve sustainable, responsible and comprehensive mining development. They focused on the importance of minerals and metals in the equitable transition to a low-carbon energy future, and the role that each country in the region can assume in developing sustainable and responsible mining value chains.

Mining Challenges

The Arab and foreign ministers noted that the global mining sector was facing several challenges, as countries and mining companies continue to deal with the effects of the Covid-19 pandemic. They pointed that supply chains were recovering with increasing consumer demand, which is compounding the challenge of curbing global warming, in line with the 2015 Paris Agreement and the 2021 United Nations Climate Change Conference held in Glasgow.

In this context, the participants emphasized the region’s ability to help meet global mining needs in the future, thanks to its large reserves and resources.

Metal Sustainability

The participants also discussed challenges facing the future of sustainable minerals, stressing the importance of finding common ground for developing resilient mining supply chains.

They called for the adoption of a roadmap to promote the dialogue between stakeholders on the future of minerals, investment in mining, and cooperation across the region from Africa to Central Asia.

Ministers and participants noted that minerals and metals provide vital development opportunities to achieve a low-carbon economy through new technologies, including electric vehicles, battery storage, and renewable energy sources.

The demand for important minerals is accelerating and is expected to double in the coming decades, and such growth represents a historic opportunity for the region, they remarked.

Global Demand Growth

Addressing the meeting, the Saudi Minister of Industry and Mineral Resources Badr Al-Khorayef, emphasized the importance of developing the mining sector through the National Industrial Development and Logistics Services Program, to transform the Kingdom into a leading industrial power in this field.

In this regard, the minister pointed to the launch of a comprehensive strategy for the mining industries, which includes 42 initiatives that aim to raise the sector’s contribution to the domestic product and increase investment opportunities, in parallel with the launching of the new mining investment system and a dedicated electronic platform.

Al-Khorayef also revealed the start of the implementation of the General Geological Survey project, which extends over an area of 600,000 square kilometers in the Arab Shield region.

Meanwhile, investors told Asharq Al-Awsat that re-organizing the mining sector locally, in the region and the world, would constitute an opportunity to attract investments.

EV Metals Group Chairman Abdullah Busfar said that the ongoing Mining conference provided an opportunity to attract local and international investors.

“The obstacles facing the sector in our region center on the lack of culture and understanding of long-term investment in mining, in light of the absence of data and information on mineral reserves and quantities. This requires countries to make preliminary explorations and provide data to companies and investors in order to promote this industry.”

He stressed the need to facilitate and expedite the issuance of exploration licenses, in light of the current race to provide the minerals required for the clean energy industry, such as lithium and nickel.

Abdullah Al-Malehi, a Saudi investor, said that the Saudi private sector was engaging in the Kingdom’s mining industry, pointing in this regard to a number of Saudi businessmen and foreign companies which he said were about to launch major alliances in mega projects.

Al-Malehi explained that his company was finalizing the signing of projects with Saudi companies and international investment funds for investments in sites containing copper and zinc within the Kingdom, following a tender by the Ministry of Industry.

He also highlighted great opportunities in the field of exploration, extraction and the production of raw materials.

Al-Malehi added that his company, “Tamayuz” was planning to bring modern technologies and use artificial intelligence in the field of mining, while working on training Saudi skills, noting that the volume of investment in the sector in Saudi Arabia reached 28 billion riyals ($7.4 billion) in 2020.



Chile to Restore Global Leadership in Lithium Production

Aerial view of brine ponds and processing areas of the lithium mine of the Chilean company SQM (Sociedad Quimica Minera) in the Atacama Desert, Calama, Chile, on September 12, 2022. (AFP)
Aerial view of brine ponds and processing areas of the lithium mine of the Chilean company SQM (Sociedad Quimica Minera) in the Atacama Desert, Calama, Chile, on September 12, 2022. (AFP)
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Chile to Restore Global Leadership in Lithium Production

Aerial view of brine ponds and processing areas of the lithium mine of the Chilean company SQM (Sociedad Quimica Minera) in the Atacama Desert, Calama, Chile, on September 12, 2022. (AFP)
Aerial view of brine ponds and processing areas of the lithium mine of the Chilean company SQM (Sociedad Quimica Minera) in the Atacama Desert, Calama, Chile, on September 12, 2022. (AFP)

Chile's state-owned copper producer, Codelco, together with Chinese-backed private miner, SQM, announced on Saturday the creation of a giant company to exploit lithium, often referred to as "white gold."

The South American country is the world’s second-largest producer of lithium, a key component of EVs and other clean technologies and has about 40% of the world’s lithium reserves.

The partnership between the firms will allow them to jointly ramp up the exploration of lithium in the Atacama region of northern Chile.

The public-private partnership will be named Nova Andino Litio SpA, said Codelco, which described the agreement as one of the most significant deals in Chilean business history.

The Chinese firm Tianqi holds 22% stake in SQM.

In a statement, Codelco said the new partnership will carry out lithium exploration, extraction, production, and commercialization activities in the Atacama salt flat until 2060.

The agreement was approved by more than 20 national and international regulatory authorities, including those in China, Brazil, Saudi Arabia, and the European Union.

Chile was the last of the countries to clear the deal. Last month, China gave the green light to the planned partnership between Codelco and SQM.

The new venture is intended to help Chile regain global leadership in lithium production, a position it lost to Australia nearly a decade ago.

The partnership aims to expand lithium output in the Atacama region, with plans to increase production by around 300,000 tons per year. In 2022, Chile produced 243,100 tons of lithium.

The partnership also aligns with Chile’s National Lithium Strategy, announced in 2023 by the leftist government of President Gabriel Boric, aimed at reclaiming Chile’s global leadership in lithium production.


China's BYD Poised to Overtake Tesla in 2025 EV Sales

The Tesla logo is seen in this illustration taken July 23, 2025. (Reuters)
The Tesla logo is seen in this illustration taken July 23, 2025. (Reuters)
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China's BYD Poised to Overtake Tesla in 2025 EV Sales

The Tesla logo is seen in this illustration taken July 23, 2025. (Reuters)
The Tesla logo is seen in this illustration taken July 23, 2025. (Reuters)

Growing Chinese auto giant BYD stands poised to officially surpass Tesla as the world's biggest electric vehicle company in annual sales.

The two groups are expected soon to publish their final figures for 2025, and based on sales data so far this year, there is almost no chance the American company led by Elon Musk will retain its leadership position.

At the end of November, Shenzhen-based BYD, which also produces hybrid vehicles, had sold 2.07 million EVs so far in 2025.

Tesla, for its part, had sold 1.22 million by the end of September.

Tesla's September figures included a one-time boost in sales, to nearly half-a-million vehicles in a three-month period, before the expiration of a US tax credit for buyers of electric vehicles -- which ended under legislation backed by President Donald Trump, a climate change skeptic.

But Tesla's sales in the coming quarter are expected to fall to 449,000, according to a FactSet analysis consensus. That would give Tesla about 1.65 million sales for all of 2025, a drop of 7.7 percent and well below the level BYD had attained by end November.

Deutsche Bank, which projects just 405,000 Tesla EV sales during the fourth quarter, sees the company's sales down by around one-third in both North America and Europe, and by one-tenth in China.

- Transition period -

Industry watchers say it will take time for EV demand to reach a level of equilibrium in the United States following the elimination of the $7,500 US tax credit at the end of September 2025.

Even prior to that, Tesla had seen sales struggle in key markets over CEO Musk's political support of Trump and other far-right politicians. Tesla has also faced rising EV competition from BYD and other Chinese companies and from European giants.

"We believe Tesla will see some weakness on deliveries" in the fourth quarter, said Dan Ives of Wedbush Securities.

Sales of 420,000 would be "good enough to show stable demand," with Wall Street "laser focused on the autonomous chapter kicking off in 2026," Ives added, referring to plans for self-driving vehicles.

Even as it has grown quickly, BYD has faced challenges in its home market.

With profitability in China weighed down by price-wary consumers, the company has sought to strengthen its foothold in foreign markets.

BYD is "one of the pioneers to establish overseas production capacity and supply chains for EVs," Jing Yang, Director of Asia-Pacific Corporate Ratings at Fitch Ratings, told AFP.

"Going forward, its geographical diversification is likely to help it to navigate an increasingly complicated global tariff environment," said Yang.

Overseas rivals to BYD have balked at Chinese state subsidies and other state supports that have allowed the company to sell vehicles cheaply.

Trump's predecessor Joe Biden imposed 100 percent tariffs on Chinese EV imports that could potentially go even higher under Trump. Europe has also imposed tariffs on Chinese imports, but BYD is building manufacturing capacity in Hungary.

While the chance of Tesla reclaiming its global leadership in EVs looks uncertain, the American company is also potentially positioned for growth.

Michaeli of TD Cowen sees autonomous technology playing an increasingly important role for Tesla, with breakthroughs in its "full self-driving" or "FSD" offerings potentially boosting sales.

"As Tesla really begins to roll out eyes-off features and expand FSDs capability, if they do that successfully, that should generate more demand for their vehicles," Michaeli said.

Musk has said the Cybercab, an autonomous robotaxi model, will begin production in April 2026. The company has also unveiled lower-priced versions of the Models 3 and Y that could boost sales.


China Says to Launch Digital Currency Action Plan

People walk past a shopping mall in Beijing on December 28, 2025. (AFP)
People walk past a shopping mall in Beijing on December 28, 2025. (AFP)
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China Says to Launch Digital Currency Action Plan

People walk past a shopping mall in Beijing on December 28, 2025. (AFP)
People walk past a shopping mall in Beijing on December 28, 2025. (AFP)

China will on January 1 launch an "action plan" for boosting management and operations of its digital currency, a deputy governor of the country's central bank said Monday.

"The future digital yuan will be a modern digital payment and circulation means issued and circulated within the financial system," People's Bank of China (PBoC) Deputy Governor Lu Lei wrote in Financial News, a media outlet under the central bank.

In the next step towards that goal, a "new generation" arrangement for digital yuan will be launched on January 1, Lu said, encompassing a "measurement framework, management system, operating mechanism and ecosystem".

The "action plan" will see banks pay interest on balances held by clients in digital yuan -- a move to incentivize broader adoption of the currency.

The plan also includes a proposal to establish an international digital yuan operations center in the eastern financial hub of Shanghai, the report said.

Monetary authorities around the world have in recent years been exploring ways to digitalize currencies, propelled by a boom in online payments during the pandemic and the increased popularity of cryptocurrencies such as bitcoin.

The PBoC has been working on a digital currency since 2014 and has been testing the use of a "digital yuan" or "e-CNY" in various pilot programs.

Consumers across the country already widely use mobile and online payments, but the digital yuan could allow the central bank -- rather than the big tech giants -- access to more data and control over payments.