Greenland has the potential to become a significant source of raw materials for electric vehicle batteries, according to industrial interests.
Although mining in Greenland has been challenging in the past due to Arctic conditions and ice cover, the receding glaciers resulting from climate change could make mineral deposits more accessible, as reported by The Lever.
A 2023 European Commission survey identified Greenland as having deposits of 25 out of 34 minerals classified as “critical raw materials,” including nickel and cobalt essential for batteries. The Arctic Economic Council stated in a September 2024 report that Greenland is one of the largest potential sources of these metals globally.
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The first lithium exploration in Greenland was conducted last summer in partnership with the U.S. State Department, with the Biden Administration assisting Denmark in drafting a new mining investment law to attract investments in Greenland.
In November, Brunswick Exploration, a Canadian mineral exploration company, announced plans to expand licenses for lithium exploration in Greenland after initial discoveries, aiming to launch a major initiative in 2025.
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While Greenland has been a topic of foreign policy discussions due to President Trump’s interest in purchasing the island, securing raw materials for EV batteries is not the primary motivation. The U.S. already has access to Greenland’s minerals through its agreement with Denmark.
Furthermore, Trump’s administration has shown little interest in electric vehicles, as highlighted by recent directives to lower fuel economy standards. If there was a focus on EVs, there would likely be more emphasis on exploiting U.S. lithium deposits.