The Philippine government has signed an agreement with the United States aimed at developing the country’s critical minerals and rare earths sector, a move seen as key to transforming the Philippines into a regional minerals processing hub.
The Memorandum of Understanding (MOU), signed by Environment Secretary Raphael P.M. Lotilla and U.S. Under Secretary of State for Economic Affairs Jacob Helberg, focuses on shifting the Philippines away from exporting raw mineral ores and toward processing minerals domestically. This approach is expected to create higher-value industries, generate skilled jobs, and allow the country to capture more economic benefits from its natural resources.
Critical minerals and rare earth elements are essential for electric vehicles, renewable energy systems, electronics, and other advanced technologies. By building local processing capacity, the Philippines aims to better integrate into global supply chains that support these fast-growing industries.
The agreement aligns the Philippines with other U.S. partners such as Australia, Canada, Japan, South Korea, the United Kingdom, and several ASEAN countries that are working to secure stable and diversified mineral supplies amid rising global demand.
Officials said the initiative also supports responsible mining, with commitments to environmental protection and safeguarding local communities.
The MOU was signed on February 4, 2026, on the sidelines of the 2026 Critical Minerals Ministerial in Washington, D.C., attended by senior officials from 54 countries and the European Commission.
