Uzbekistan to develop $500 million projects in rare earth materials

Uzbekistan will create promising projects in rare earth materials with a total value of $500 million, as announced by the president's press service.

The geological sector annually receives up to 1 trillion UZS in funding. In 2023, the production volume in the mining industry reached almost $11 billion. A significant portion is attributed to the extraction of precious and non-ferrous metals, although 32 types of minerals critical for the industry have been discovered.

Amid rising demand for rare earth metals in the electric vehicle industry, 'green' energy, and the electrical industry, there is a noted need to expand existing exploration and develop new deposits of critically important raw materials.

The president has proposed to produce powder metallurgy products worth $300 million and equipment and components worth $100 million per year.

The recent signing of a memorandum on critically important raw materials between Uzbekistan and the European Union opens up export opportunities. Mirziyoyev has ordered the establishment of a project office and the involvement of leading institutes and scientific centers to form prospective projects.

Furthermore, the head of state has given directives to reduce production costs at the Navoi Mining and Metallurgical Combinat (NMMC) by 10−15%, expand industrial cooperation and localization, and organize a scientific center for advanced technologies in precious metals.