Thailand becomes center for rare earths: MOU signed with USA!

Thailand becomes center for rare earths: MOU signed with USA!

Thailand has become a hot spot for investors interested in natural resources in recent days. On October 26, 2025, Prime Minister Anutin Charnvirakul signed a significant Memorandum of Understanding (MOU) with US President Donald Trump in Kuala Lumpur aimed at developing rare earth elements (REEs). The agreement aims to promote diversification of the global critical minerals supply chain and support investment in the REE industry, Bangkok Biz News reports.

The strategic importance of rare earths cannot be overestimated. These 17 special metals are essential for the production of electric vehicle batteries, smartphones, computers and other technologies that have become an integral part of our everyday lives. With Thailand increasingly importing minerals, particularly lead, from Myanmar last year - the value rising from 2,000 million baht in fiscal 2024 to 9,800 million baht in 2025 - there is a clear profit from developing these resources.

Political ramming conditions

The MOU provides for deeper cooperation between the US and Thailand in the field of critical minerals. The aim is to make markets for critical minerals safer, more diversified and fairer, which is of great importance for the global energy future. Areas of cooperation include sharing information and technical know-how to improve Thailand's competitiveness in this sector. Other points include regular meetings and workshops to promote trade and investment, as stated on the official website of the [White House](https://www.whitehouse.gov/briefings-statements/2025/10/memorandum-of-understanding-between-the-government-of-the-united-stat es-of-america-and-the-government-of-the-kingdom-of-thailand-concerning-cooperation-to-diversify-global-critical-minerals-supply-cha/) explained.

However, there are also worrying aspects related to this agreement. The geopolitical situation in the region, particularly the use of illegal minerals from Myanmar, raises questions. Critics fear that Thailand could become a transit country for these illegal extractions. The environmental impacts and sustainability issues are sensitive and were already discussed during the negotiations. Water pollution in the upper Mekong caused by illegal mining in Myanmar is already having health impacts on the affected population, further complicating the situation.

A call to responsibility

It is clear that the Thai government must take action quickly. There are calls for talks with Myanmar and local groups to close illegal mines and solutions are being sought to minimize environmental impacts. Environmental responsibility in rare earth extraction needs to be clearly defined, particularly in the context of practices in Myanmar and Laos. Suggestions for improvement include learning from international best practices and creating clear regulatory frameworks.

In conclusion, Thailand is in a crucial phase where not only economic interests are at stake, but also responsibility towards people and the environment. Hopefully the Thai and US governments can respect the UN guidelines on critical minerals and make a positive difference in the region. The path that Thailand is now taking could be decisive for the future direction of raw materials policy, and so it is important to show a good hand here.