Incentive Programs for Clean Tech Mineral Production

The DTI - the dti (Department of Trade and Industry: Republic of South Africa) has announced a major policy update under the Automotive Production and Development Programme Phase 2 (APDP2) — and it could be a game-changer for local value chains. 🛠️ 𝐊𝐞𝐲 𝐃𝐞𝐯𝐞𝐥𝐨𝐩𝐦𝐞𝐧𝐭𝐬: ✅ Proposal to include lithium, cobalt, graphite, manganese sulfate, nickel sulfate, and other critical minerals as standard materials under APDP2. ✅ These materials — if beneficiated in SACU/SADC — will now count toward local content thresholds. ✅ A review of tariff protection is on the table: NEV batteries may attract a 15% import duty, creating space for a local battery manufacturing base. ✅ Government is exploring new incentives for local mineral beneficiation and battery assembly. 📈 What this means for SA: This move could catalyse an electric mobility ecosystem rooted in African minerals, advance industrial policy, and drive job-rich green industrialisation. For OEMs and Tier suppliers, this is a call to rethink sourcing and localisation strategies⚡ 𝐎𝐟𝐟𝐢𝐜𝐢𝐚𝐥 𝐬𝐨𝐮𝐫𝐜𝐞 detailing the proposed updates to South Africa's Automotive Production and Development Programme Phase 2 (APDP2) is the Government Gazette No. 52746, published on 29 May 2025 https://lnkd.in/dpXRgiSa #manufacturing #batteries #EVs #industrialpolicy #localisation #SAauto #greeneconomy #africa

In my last post, I wrote about China’s dominance in the rare earths supply chain—particularly in refining and magnet manufacturing—and the resulting structural dependencies shaping the global clean energy, defence, and tech landscape. Since then, two key developments show that India is beginning to step up—both at home and through international partnerships. 1. ₹5,000 Cr Incentive Scheme for Rare Earths India is preparing a rare earth-focused incentive scheme (akin to PLI), with a shift in focus from mineral exploration to value-added processing and magnet manufacturing. - Private sector participation may finally be unlocked - Strong alignment with EVs, renewables, electronics, defence Goal: Attract both domestic and global investment into separation, refining, and high-purity magnet tech If executed well, this can move India from being a resource holder to a value creator in critical minerals. 2. India–Australia Critical Minerals Partnership India and Australia are moving from intent to action: - 5 projects identified (2 lithium, 3 cobalt) - Collaboration on rare earth supply chains and magnet manufacturing - Institutional R&D via IIT-Hyderabad and Monash University - Focus on ESG, sustainability, circular economy Australia offers upstream strength; India brings downstream scale and demand—a complementary corridor for clean tech and strategic industries. 3. India is re-thinking exports of rare earth to preserve resources for domestic industry - India is suspending IREL's 13-year old supply agreement with Toyota, Japan; subject to further negotiations. This move signals India's strategic shift to become a robust, value-added critical minerals industry at home. 4. Global OEMs Recalibrate China’s recent export restrictions have prompted a wave of action: Tesla, BMW moving toward rare-earth-free motor designs Toyota, Hyundai exploring new magnet chemistries and localized production Volkswagen, GM investing in diversified supply sources and rare earth recycling This is no longer just about managing risk—it’s about reengineering supply chains and catalyzing the next wave of innovation. Where does this leave India? We have the raw materials. We have demand. But midstream capacity and high-end applications have long lagged behind. Now—with incentives at home and trusted partners abroad—we have a real opportunity to build a resilient, future-ready rare earths ecosystem. What’s critical next: - ESG-aligned frameworks and permitting - Industry–research collaboration - Strategic positioning to partner with global OEMs - A roadmap for circularity and substitution This moment isn’t about catching up—it’s about choosing to lead. #RareEarths #CriticalMinerals #IndiaAustralia #EVTransition #SupplyChainSecurity #MakeInIndia #PLI #TechnologySovereignty #CleanTech #IndustrialPolicy #Geopolitics

Big news from Albo out yesterday, and it could mark a major turning point for Australia’s critical minerals sector. With the U.S. slapping a 10% tariff on Aussie exports and 25% on steel and aluminium, the PM has proposed a Critical Minerals Strategic Reserve. The aim? To shore up domestic supply and processing of lithium, cobalt, rare earths and more, the building blocks of EVs, defence systems, clean energy tech, and modern electronics. WA Premier Roger Cook is backing it, and industry heavyweights like AMEC (Association of Mining and Exploration Companies) are saying this could really shift Australia’s global standing when it comes to minerals supply chains. According to Geoscience Australia, we’re #1 globally for lithium, #2 in zircon, #3 in rare earths, and #4 in cobalt. But most of that has been shipped offshore for processing, often to China or Malaysia. That’s starting to change: Lynas Rare Earths Ltd has dropped $800M into Kalgoorlie to onshore processing, Arafura Rare Earths Limited ’s Nolans Project scored $840M from the federal government, and there’s now a $7B Critical Minerals Production Tax Incentive offering 10% offsets on processing costs. Plus, around $40M in federal support has gone into downstream projects across QLD, SA and WA, including vanadium-flow batteries and other energy tech. From where I’m sitting, this is a much-needed shift turning our natural advantage into long-term strategic leverage. But here’s the real question: it’s all well and good to want to build out this processing capacity… but can we actually do it? Or is this going to end up like Kwinana again, full of promise, short on delivery? Do we have the skills, the workforce, the infrastructure to really pull this off? Because if we get it right, we stop being just a quarry, and start becoming a critical player. Let’s not waste the moment. Source https://lnkd.in/gy7wDU37 https://lnkd.in/gmJvyP67 https://lnkd.in/gyMDjXZX https://lnkd.in/g7ks_U-e https://lnkd.in/g-pDqQMR https://lnkd.in/gGs9Xbby https://lnkd.in/grr6D_sb

$1B in funding for critical minerals and materials innovation was just announced by the U.S. Department of Energy (DOE). The DOE intends to issue nearly $1 billion in funding opportunities to advance domestic mining, processing, and manufacturing of critical minerals and materials, reducing U.S. dependence on foreign supply chains for resources that underpin our energy systems, national security, and industrial competitiveness. What’s coming: ▫️ Critical Minerals & Materials Accelerator ($50M) – Unlocking private capital and commercialization for processes in the rare-earth magnet supply chain, refining/alloying critical minerals for semiconductors, direct lithium extraction/separation, and co-production from byproducts and scrap. (https://lnkd.in/g_GFkRWn) ▫️ Mines & Metals Capacity Expansion ($250M) – Enabling U.S. industrial facilities to recover valuable mineral byproducts from existing processes. (https://lnkd.in/gFnJSwrF) ▫️ Rare Earth Elements Demonstration Facility ($135M) – Demonstrating commercial viability of domestic REE refining from mine tailings, waste, and deleterious material. Requires academic partnership + 50% cost-share. (https://lnkd.in/gBNE9Abm) ▫️ Battery Materials & Recycling ($500M) – Expanding domestic processing, manufacturing, and recycling of lithium, nickel, copper, graphite, aluminum, REEs, and other battery-critical minerals. Requires 50% cost-share. (https://lnkd.in/gy-CVAvA) ▫️ Recover Critical Minerals from Industrial Wastewater ($40M) – Developing technologies to recover critical minerals from industrial wastewater, turning waste streams into secure domestic supply. (https://lnkd.in/gy-CVAvA) PM: Charles Werth This rare alignment of market pull, government funding, and geopolitical tailwinds is a clear “why now” for scientists and founders to innovate in critical minerals and materials. These DOE programs can be paired with private capital, other government grants, philanthropic vehicles, and blended finance to de-risk breakthrough technologies and accelerate deployment. ➡️ If you're building biological technologies for critical minerals and materials innovation, we are actively investing in this space at Juniper. Also check out this Defense Advanced Research Projects Agency (DARPA) BTO solicitation: https://lnkd.in/gAJZeBPa | Deadline: 9/10/2025 | BTO Director: Michael Koeris Feel free to share these opportunities with those who might benefit. Nathan Ratledge Sasha Milshteyn Alexandra Shiluk Eric Herrera Jesse Evans