The OECD is pressing Latin American governments to enact structural reforms, covering private investment, regional integration and institutional capacity, to convert critical mineral reserves into supply chain leverage as global powers accelerate efforts to reduce dependence on China. Mexico, a top global producer of eight USGS-classified critical minerals, is positioning itself at the center of this realignment through active participation in the US-led Critical Minerals Ministerial, EU trade negotiations and a Canada-Mexico joint action plan expected in 2H26. Mining, energy, logistics, and trade sectors face both regulatory pressure and investment opportunity as geopolitical demand reshapes the market.
OECD Secretary General Mathias Cormann called on Latin American nations to pursue “ambitious reforms” to capitalize on surging global demand for critical minerals, framing the moment as an opportunity the region cannot afford to miss. Speaking at the opening of the 18th OECD International Economic Forum on Latin America and the Caribbean, held at the organization’s Paris headquarters, Cormann told attendees that “the world is offering Latin America and the Caribbean an unprecedented opportunity.”
“Global supply chains are being reconfigured, demand for critical minerals is growing and the region has exactly what global markets need,” he said.
Cormann outlined the conditions needed for the region to benefit from its resource endowment. Beyond minerals, he cited clean energy potential, agricultural capacity and a young workforce as additional assets for the region. However, he emphasized that “ambitious reforms” were required to mobilize private investment, deepen regional integration, strengthen public institutions and raise labor productivity.
Chile has already moved in that direction. Its National Strategy for Critical Minerals, launched in January 2026, centers on value addition as a core pillar. Under contracts managed by CORFO, lithium exploitation agreements reserve a 25% production quota at preferential prices to attract specialized producers for local battery manufacturing, a model that other regional economies are watching closely.
Cormann urged governments across Latin America and the Caribbean to “act now” and “seize” the window, noting that the reconfiguration of global supply chains presents a structural shift rather than a temporary trend.
The call comes as economic powers including the United States, Japan, and France intensify efforts to reduce dependence on China for rare earths and other critical minerals essential to the energy and digital transitions. On Feb. 4, 2026, the United States convened the Inaugural Critical Minerals Ministerial, bringing together 55 nations to formalize a preferential trade zone for strategic materials, a shift toward an alliance-based framework designed to shield participating economies from supply shocks and pricing volatility.
A Region Rich in Reserves
Latin America holds significant stakes in the global minerals map. Brazil holds an estimated 21Mt of rare earth reserves, the second-largest in the world behind China, according to the US Geological Survey (USGS), but its exports in the sector remain minimal. Bolivia, Argentina and Chile hold major lithium reserves, while Chile and Peru rank among the top global producers of copper, and Cuba holds notable cobalt deposits, according to the Development Bank of Latin America and the Caribbean (CAF).
Latin America as a whole supplies 35% of the world’s lithium and 40% of its copper, making the region a key partner in the energy transition, according to OECD data. Yet as of 2020, less than 10% of the copper mined across the region was processed into semi-finished or finished goods locally, according to OECD research.
Mexico’s position is also notable. The country ranks among the top global producers of eight of the 60 minerals identified as critical by the USGS, including antimony, barite, copper, fluorite, graphite, lead, silver and zinc.
Mexico at the Center of Supply Chain Diplomacy
Mexico has moved on multiple diplomatic fronts to secure its role in critical mineral supply chains. The country is participating in forums with Latin America, Ibero-America, India and Canada, and critical minerals trade is set to be part of the agenda at the WTO’s XIV Ministerial Conference, scheduled for March 26-29, 2026, in Yaounde, Cameroon.
The European Union has also set its sights on Mexico. As part of an update to the EU-Mexico trade agreement, Brussels is seeking improved access to critical minerals from the country. Canada and Mexico are separately preparing a joint action plan on minerals, infrastructure and supply chains, expected in the 2H26, aimed at reducing permitting bottlenecks, expanding transport corridors and improving processing capacity across borders.