Japan and Saudi Arabia are joining forces. They plan to invest in the development of rare earth resources. As per Nikkei’s report, this information came to the forefront during Prime Minister Fumio Kishida’s Middle Eastern tour.
Kishida has scheduled visits to Saudi Arabia, the United Arab Emirates, and Qatar from July 16 to 18, for example. All three are major energy suppliers to Japan, a country lacking natural resources. The aim is to promote decarbonization and electric vehicle production.
So, these rare earth resources are indispensable. Japan aims to achieve carbon neutrality by 2050, and Saudi Arabia is also taking significant steps. They are working hard to move away from their oil-dependent economy. Kishida and Saudi Crown Prince Mohammed bin Salman are set to agree on a cooperative venture.
The agenda for Sunday’s meeting includes exploring joint development projects in foreign countries. Moreover, Japan is ready to accelerate the development of specific resources in Saudi Arabia. According to the Nikkei report, the focus will be mainly on copper, iron, and zinc.
Last week, a top official from Japan’s foreign ministry shared Kishida’s plans. He intends to talk about energy markets with Gulf countries. At the same time, he wants to promote Japanese technologies to obtain net-zero conditions.
Now, let’s remember the importance of rare earth resources. They include Lanthanides, Yttrium, and Scandium. These resources represent a trade business worth $5 trillion.
Saudi Arabia must also think about its future. The country needs to ensure that its reliance on fossil fuels doesn’t lead to risk due to the inevitable decline in the productivity of its oil fields.
In conclusion, this partnership marks the beginning of a new era. Japan and Saudi Arabia are cooperating in the development of these critical resources. They seek to ensure a stable supply for a variety of industries. This news is inspiring!
