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G7 leaders tackle reliance on China for critical minerals - Finance news and analysis from Global Banking & Finance Review
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G7 leaders tackle reliance on China for critical minerals

Published by Global Banking & Finance Review

Posted on June 17, 2026

4 min read

· Last updated: June 17, 2026

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I'm the boss', Trump says at G7, as he warms to Ukraine's war aims

G7 Summit Highlights: Ukraine, Russia, Iran, and Critical Minerals

By Michel Rose, John Irish and Steve Holland

Trump's Leadership and G7's Unified Support for Ukraine

EVIAN-LES-BAINS, France, June 17 (Reuters) - U.S. President Donald Trump on Wednesday told a roomful of global leaders "I'm the boss", as he and other G7 heads acknowledged Ukraine's improved battlefield fortunes with a unified pledge of support and fresh sanctions against Russia.

Trump's comment -- a tongue-in-cheek acknowledgment of an unspoken truth hanging over the June 15 to 17 summit of the Group of Seven Western powers in the French resort of Evian-les-Bains -- followed a joint leaders' statement that could bolster Kyiv's growing leverage in potential peace talks with Moscow.

Ukrainian President Volodymyr Zelenskiy and his allies came to the G7 hoping to convince Trump that Ukraine's fightback is delivering results, and that Russia is in no position to dictate terms for any peace deal.

Trump Describes Russia as 'Offensive' Party

TRUMP DESCRIBES RUSSIA AS 'OFFENSIVE' PARTY

The joint statement and comments from leaders suggest Trump has warmed to Zelenskiy's argument after years of scepticism.

Trump told a press conference that Russia was losing more soldiers than Ukraine in the war, describing Moscow as the "offensive" party in the conflict.

Trump showed a "real change in approach" regarding the Ukraine war, French President Emmanuel Macron said earlier in the day. Other European leaders made similar comments.

A G7 summit in Canada last year ended without any joint stance on Ukraine. This time, ahead of a glitzy dinner in the Versailles palace, both Macron and Trump called the G7 summit a success.

However, any hopes of strongarming Moscow into peace talks still rely on Trump commitments, which can be elusive.

The U.S. president made his "I'm the boss" remark to G7 chiefs and reporters as he arrived to take his seat at a session on global economic security.

Diplomatic Developments: Iran Nuclear Deal

G7's Stance on the Preliminary Peace Deal

DIPLOMATS URGE CAUTION ON IRAN DEAL

G7 chiefs also welcomed a preliminary peace deal between the United States and Iran and said they were ready to help implement it, but left with no commitment from Trump on what their role, if any, could be.

European allies fear an inexperienced U.S. negotiating team may fail to secure a robust nuclear agreement or address Iran’s ballistic missile programme in the next phase, risking a prolonged standoff.

Trump's Warning and European Concerns

Meanwhile, Trump stressed that the memorandum of understanding with Iran was not final, and that he could resume a bombing campaign if it was not honoured.

"If I don't like it, if they don't behave, we'll go right back to dropping bombs right smack in the middle of their head, OK?" he said.

And although European allies appeared supportive of the preliminary memorandum in public, diplomats cautioned that getting a lasting deal on Iran's nuclear and ballistic missile programme as well as its support for proxy forces in the Middle East is no small challenge.

Economic Security: Critical Minerals and Technology

Reducing Reliance on China

CRITICAL MINERALS

Separately, G7 leaders agreed to step up coordination to cut their countries' reliance on China for critical minerals, including plans to align stockpiling and launch a new platform with an expanded role for the International Energy Agency.

Western powers are racing to diversify their sources of metals critical to defence, tech and renewable energy and reduce their over-reliance on China for these products.

AI and Technology Discussions

G7 leaders also discussed AI over lunch, including the liability of bots and agents, and how AI presents truth and falsehood with tech bosses including OpenAI co-founder Sam Altman and Anthropic CEO Dario Amodei. 

(Reporting by Julia Payne, Michel Rose, John Irish, Steve Holland in Evian, additional reporting by Doina Chiacu, Makini Brice, Sudip Kar Gupta, Gavin Jones; Writing by Gabriel Stargardter and Ingrid Melander; Editing by Kevin Liffey, William Maclean, Aidan Lewis)

Key Takeaways

  • France is leveraging its 2026 G7 presidency to drive concrete action on critical minerals—targeting the entire value chain from overseas sourcing to refining and magnet production—with ambitions to meet 100% of Europe’s heavy rare earth demand by 2030. (investing.com)
  • The U.S. proposal, spearheaded by Vice President JD Vance, envisions a Western trade bloc utilizing AI‑derived price floors, subsidies and guaranteed purchases—but is facing skepticism from G7 allies and a fragmented mining industry over cost, governance and feasibility. (investing.com)
  • G7 discussions also explore institutionalizing coordination—such as France’s idea for a permanent Critical Minerals Secretariat—and broader strategic alignment through partnerships like the U.S.–EU memorandum and existing frameworks such as the Minerals Security Partnership. (techtimes.com)

References

Frequently Asked Questions

Why are G7 leaders concerned about reliance on China for critical minerals?
Recent Chinese export curbs on rare earths highlighted Western dependence on China for critical minerals used in energy, defence, and technology.
What actions are G7 leaders considering to secure mineral supply chains?
Measures include price supports, market standards, subsidies, guaranteed purchases, and fostering private investment in non-Chinese supply chains.
How has China impacted global trade and supply chains?
China's export restrictions and trade surplus have created imbalances, leading to Western efforts to diversify sources and strengthen economic sovereignty.
What is the EU's response to trade imbalances with China?
The EU is considering tougher and more systematic trade defence measures and seeks to 'de-risk' without fully decoupling from Chinese markets.
What other topics are G7 leaders discussing at the summit?
They are also discussing artificial intelligence, including liability and the impact of bots, with tech leaders like Sam Altman and Dario Amodei attending.

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