**Washington**: The U.S. State Department has committed to monitoring the potential acquisition of Korea Zinc by MBK Partners, citing concerns over Chinese influence on critical mineral supply chains. This follows Republican Congressman Nunn’s inquiries regarding the implications for U.S. national security and economic interests.
The U.S. State Department has stated its commitment to closely monitor the ongoing situation surrounding the potential acquisition of Korea Zinc by MBK Partners, expressing concerns about the implications for the critical mineral supply chain. This assessment follows inquiries from Republican Congressman Zachary Nunn, who has voiced apprehensions regarding increased Chinese influence should MBK Partners take control of the South Korean company. The comments were reported on October 20th.
During a briefing, senior State Department official Guglielmo Galgani articulated the importance the U.S. places on diversifying supply chains and expanding critical mineral production as cornerstone policies essential for national security. He stated, “Korea is a country that has directly experienced the risks of China’s economic retaliation and coercion,” underscoring the need for vigilance in protecting core technologies.
Galgani further reinforced South Korea’s role in the critical mineral supply chain, declaring, “Korea plays a leading role in the critical mineral supply chain,” and referred to it as a vital ally in counteracting China’s market practices. Korea Zinc is a significant producer of essential minerals such as antimony, indium, bismuth, and tellurium, which are particularly critical for industries including defence and semiconductor manufacturing in the U.S.
Highlighting the strategic partnership, Galgani remarked, “Korea will solidify its position as a key ally in supply chain diversification,” and reaffirmed the U.S. commitment to enhancing cooperation with South Korea aimed at fortifying the U.S. economy and national security. He emphasised that the U.S. plans to engage in a range of activities going beyond the establishment of a mineral security alliance, to effectively counter China’s influence in this crucial sector.
Source: Noah Wire Services
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