Demand for Critical Minerals to Triple by 2040, Investments to Reach $800 Billion

Rising demand for clean energy technologies is driving a surge in critical minerals, with global demand expected to triple by 2040, Anadolu Agency revealed citing the International Energy Agency’s (IEA) Global Critical Minerals Outlook report.

These minerals—lithium, nickel, cobalt, graphite, copper, and rare earth elements (REEs)—are essential for electric vehicles, batteries, renewable energy, and energy storage.

The report projects annual demand for critical minerals will reach around 35 million tons by 2040, up from 28.1 million tons excavated in 2023. Investments are forecasted to soar from $45 billion in 2023 to $800 billion by 2040. Copper mining leads with $490 billion in expected investments, followed by nickel at $160 billion and lithium at $80 billion.

Mineral processing capacity is also set to increase by 32%, with graphite capacity rising 267%, lithium 110%, and rare earth elements 45% by 2040. Clean energy will account for over half of the demand for these minerals, underscoring their strategic importance amid the global transition to net-zero emissions.