Australia Critical Minerals
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Australia mined an estimated 92,000 t of lithium in 2025, 32% of the world and the largest national total, and also leads in iron ore (38%), ranks second in bauxite (22%) and third in rare earths (7.4%), according to USGS. Its policy now combines a 31-mineral Critical Minerals List, an A$1 billion strategic reserve that can buy, sell and stockpile output, and a 10% refundable processing offset from 1 July 2027.
32%
of world lithium mine production came from Australia in 2025, the largest share of any country
A$1 billion
drawn from the Critical Minerals Facility for the Critical Minerals Strategic Reserve, plus A$150 million for stockpiling
10%
refundable offset on eligible processing costs from 1 July 2027 to 30 June 2040 under the Production Tax Incentive
100 t
a year of anticipated gallium capacity at Alcoa's Wagerup plant, about 10% of global demand
Source: Export Finance Australia
Which critical minerals does Australia produce?
The table shows where Australia ranks in USGS estimates of 2025 world production. It leads in lithium and iron ore and is among the top three in bauxite, lead, zinc, gold and rare earths.
| Mineral | 2025 production (USGS estimate) | Share of world | Rank | Reserves (share of world) |
|---|---|---|---|---|
| Iron ore | 980,000 kt of usable ore | 38% | 1 of 17 | not reported |
| Lithium | 92,000 t of lithium content | 32% | 1 of 10 | 8,400,000 t (23%) |
| Bauxite | 97,000 kt (dry) | 22% | 2 of 19 | 3,700,000 kt (dry) (13%) |
| Alumina | 17,000 kt (dry) | 11% | 2 of 19 | not reported |
| Lead | 480 kt of lead content | 11% | 2 of 12 | 34,000 kt (36%) |
| Gold | 280 t of gold content | 8.5% | 3 of 13 | 13,000 t (20%) |
| Zinc | 1,100 kt of zinc content | 8.5% | 3 of 10 | 64,000 kt (27%) |
| Manganese | 1,600 kt, gross weight | 7.9% | 4 of 9 | 580,000 kt (32%) |
| Rare earths | 29,000 t of rare earth oxide equivalent | 7.4% | 3 of 16 | 6,300,000 t |
Source: USGS Mineral Commodity Summaries 2026 chapters. Shares are calculated by this site from the USGS country figure and the larger of the USGS world total and the sum of the country figures, because USGS rounds the world total. Units differ by row. Rank is among the countries named in each USGS table.
What is Australia's critical minerals policy?
Australia ties each list to different tools, and added a strategic reserve and a tax incentive in 2025 and 2026. The table gives each measure with its terms and source.
| Measure | What it does | Terms | Source |
|---|---|---|---|
| Critical Minerals List and Strategic Materials List | The Critical Minerals List has 31 entries; the Strategic Materials List has five: aluminium, copper, phosphorus, tin and zinc | Published 20 June 2023; updated 20 February 2024; reviewed at least every three years | Department of Industry, Science and Resources |
| Critical Minerals Strategic Reserve | Secures rights to an initial subset of minerals: antimony, gallium, neodymium and praseodymium, and dysprosium and terbium; tools include offtakes, stockpiling and contracts for difference | A$1 billion from the expanded A$5 billion Critical Minerals Facility plus A$150 million for stockpiling; projects need at least A$20 million of support | Department of Industry, Science and Resources |
| Critical Minerals Production Tax Incentive | Refundable offset on processing and refining of listed critical minerals; Strategic Materials List items are not eligible | 10% of eligible costs, 1 July 2027 to 30 June 2040, up to 10 years per activity | Department of Industry, Science and Resources |
| US-Australia framework | A bilateral action plan to unlock a US$8.5 billion pipeline of projects, including the Alcoa-Sojitz gallium project and Arafura's Nolans rare earths project | Signed 20 October 2025; US$1 billion from both nations over six months | Minerals Council of Australia |
| Export Finance Australia loans | Iluka's Eneabba refinery has a A$1.65 billion non-recourse loan; Alcoa's Wagerup gallium plant is financed through the Critical Minerals Facility | Iluka: 60% built, commissioning in 2027; Wagerup: final investment decision 14 July 2026 | Iluka, Export Finance Australia |
Which Australian companies produce critical minerals?
PLS produced 879.5 kt of spodumene concentrate in the year to June 2026, and Lynas produced 7,260 tonnes of NdPr oxide in the same year from Mt Weld and its Kalgoorlie and Malaysian plants. Albemarle placed its Kemerton lithium hydroxide plant in Western Australia into care and maintenance in 2026. The sourced figures and status for each company are on the miners and refiners pages.
Why does Australia want to process more at home?
The strategic reserve and the tax incentive both aim at processing, because Australia mines far more than it refines. USGS records that mine production in Australia of nickel fell by an estimated 54% in 2025 after several companies put mines into care and maintenance owing to low prices, which shows how exposed raw production is to price swings. The Australia list page sets out which support applies to which mineral.
Frequently asked questions
What does Australia produce most of?
Australia is the world's largest producer of lithium (an estimated 32% in 2025) and iron ore (38%), the second largest of bauxite, and third in rare earths with 7.4% of the world total by USGS estimates.
What is the Critical Minerals Strategic Reserve?
It is an Australian Government mechanism, funded with A$1 billion from the Critical Minerals Facility plus A$150 million for stockpiling, that secures rights to antimony, gallium, neodymium and praseodymium, and dysprosium and terbium and on-sells them to partners.
How many minerals are on Australia's critical minerals list?
The Critical Minerals List has 31 entries in the department's table, and a separate Strategic Materials List has five: aluminium, copper, phosphorus, tin and zinc.
What did the US-Australia framework of 2025 agree?
The framework signed on 20 October 2025 is a bilateral action plan to unlock a US$8.5 billion pipeline of critical minerals projects, with US$1 billion of investment from each nation over six months and a joint commitment to fast-track approvals.
Sources
Read on October 13, 2026. Figures on this page come from these documents; where a number is an estimate, the source says so.
- USGS Mineral Commodity Summaries 2026: Lithium
- USGS Mineral Commodity Summaries 2026: Iron ore
- USGS Mineral Commodity Summaries 2026: Nickel
- Department of Industry, Science and Resources: Critical Minerals Strategic Reserve
- Department of Industry, Science and Resources: Critical Minerals List and Strategic Materials List
- Minerals Council of Australia: US-Australia framework
- Export Finance Australia: Wagerup critical mineral project (July 2026)
- Iluka Resources: 2026 Half Year Results presentation (19 August 2026)
- Lynas Rare Earths: 2026 Annual Report
