HomeEverything
Equities & FundsCrypto & Digital AssetsAI & TechnologyBusiness & CorporateUS Politics & PolicyGeopolitics & Global RiskMacro, Rates & FXCommodities & EnergyEuropean Politics & MarketsAsia-PacificReal Estate & Property
← All Stories

US envoy prioritizes Cook Islands minerals, warns Pacific on China

Created at 3 Jul · 5:35 AM1 source↑ Market-relevant
IN SHORT

The new U.S. ambassador to New Zealand and several Pacific island nations stated that securing Cook Islands seabed minerals is a top priority, citing strategic importance for reducing reliance on China. He also cautioned Pacific island states about potential risks in dealings with Beijing.

✉Newsletter

PiQ Daily

Pick your topics. Get only what matters, on your cadence.

Key Numbers

1A or 1Bpriority level for critical minerals in the Cooks

Who's Involved

Jared Novelly
U.S. ambassador to New Zealand, the Cook Islands, Niue, and Samoa
China
seeking expanded presence and influence in the Pacific
Cook Islands
nation with seabed mineral deposits and exploration agreements
U.S.
strategic priority to secure critical minerals
US envoy prioritizes Cook Islands minerals, warns Pacific on China

↳ Why This Matters

The U.S. is intensifying its focus on securing critical mineral resources in the Pacific to counter China's growing influence and bolster its own strategic industries, potentially reshaping regional economic and geopolitical dynamics.

Key facts

  • U.S. Ambassador Jared Novelly identified securing Cook Islands seabed minerals as a top priority.
  • Novelly warned Pacific island nations about potential risks in their dealings with China.
  • The U.S. seeks critical minerals to reduce reliance on China's supply chains.
  • The Cook Islands has signed a framework agreement on critical minerals research with the U.S. and an exploration agreement with China.
  • Novelly plans to facilitate U.S. companies' involvement in mineral extraction in the Cook Islands.

The new U.S. ambassador to New Zealand and several Pacific island nations, Jared Novelly, has declared that securing seabed minerals in the Cook Islands is a top priority for the United States. Novelly stated that critical minerals have rapidly ascended his agenda, moving from a lesser item to a primary focus within the last year.

Washington's strategic emphasis on critical minerals stems from its desire to lessen dependence on China-dominated supply chains and bolster its defense and clean-energy sectors. The Cook Islands' waters are known to contain polymetallic nodules, which are valuable for batteries and other technologies. While the Cook Islands government permits exploration, commercial extraction has not yet been authorized. In February, the U.S. and the Cook Islands entered into a non-binding framework for critical minerals research and supply-chain security, specifically including deep-sea minerals. Concurrently, the Cook Islands has also signed an exploration and research agreement with China.

Novelly, who is also the inaugural U.S. ambassador to the Cook Islands, indicated his intention to spend time in the country and introduce U.S. companies that could aid in mineral extraction. He also expressed a belief that Pacific countries should exercise caution in their dealings with Beijing, warning about potential "debt trap" scenarios and "strings attached" to Chinese engagement. China has significantly increased its presence in the region, investing in development finance, infrastructure, and seeking greater roles in military, policing, and digital connectivity.

Beyond aid, Novelly is exploring other avenues to support Pacific economies, such as reducing remittance costs. He also addressed his recent arrival in New Zealand, presenting his credentials and hosting an Independence Day event. While acknowledging New Zealand's role in the South Pacific, Novelly suggested that partners need to increase their defense spending. He noted a recent survey indicating a shift in New Zealanders' perception, with more viewing the U.S. as a threat than China, though he personally experienced friendly interactions. Novelly also commented on New Zealand's nuclear-free policy, stating that any changes are Wellington's decision but expressing a personal wish to see a U.S. aircraft carrier visit Auckland.

Frequently asked questions

Polymetallic nodules are mineral concretions found on the seabed, containing valuable metals like cobalt, nickel, and manganese, which are crucial for batteries and other advanced technologies.

The U.S. aims to secure critical minerals to reduce its reliance on China's supply chains and support its defense and clean-energy industries.

The ambassador warned Pacific island nations to be cautious of China's dealings, citing potential debt traps and undisclosed conditions attached to Chinese engagement.

What Happens Next

01Novelly plans to introduce U.S. companies to the Cook Islands for mineral extraction assistance.
02The U.S. ambassador will continue to engage with Pacific island nations on security and economic matters.
03New Zealand will consider its defense spending and nuclear-free policy in light of U.S. engagement.

Get the newsletter.

Pick the topics you actually care about. We'll email when there's news worth your time, on the cadence you choose. Cancel any time from your account.

Cadence

How It Developed

U.S. Ambassador Jared Novelly stated securing Cook Islands seabed minerals is a top priority.
Novelly noted critical minerals had rapidly risen on his agenda over the past year.
Washington views critical minerals as strategic for reducing reliance on China and supporting clean-energy industries.
The Cook Islands government has allowed exploration of polymetallic nodules but not commercial extraction.
The Cook Islands and the U.S. signed a framework on critical minerals research and supply-chain security in February.
The Cook Islands has also signed an exploration and research agreement with China.
Novelly plans to introduce U.S. companies to assist with mineral extraction in the Cook Islands.
Novelly advised Pacific countries to be cautious in dealings with China, mentioning debt trap risks.

Sources

T1
US envoy says Cook Islands minerals are a top priorityReuters

Related Stories

South Korean President Lee Jae Myung to attend NATO summit, visit Mongolia
3 Jul · 5:42 AM
EU expresses concern over China's extraterritorial ethnic unity law
2 Jul · 10:02 AM
Canada to announce 10 founding nations for global defence bank at NATO summit
2 Jul · 3:57 PM
Philippine base expansion for US use on track, Chinese think tank says
2 Jul · 1:05 PM
Taiwan simulates blockade, earthquake, invasion in war preparedness drill
3 Jul · 3:07 AM