Chile–US Joint Declaration for Consultations on Critical Minerals and Rare Earth Elements

Mechanism

The Joint Declaration for the Establishment of Consultations on Critical Minerals and Rare Earth Elements is a political framework instrument — not binding legislation — that creates a standing bilateral channel between Chile and the United States for coordination on critical minerals supply chains. Signed at La Moneda Palace on 12 March 2026, the day after President Kast received Deputy Secretary Landau, the document commits both governments to:

1. Regular consultations — first round mandated within 15 days of signing, with the stated goal of progressing to a more detailed cooperation agreement. 2. Investment facilitation — explicit reference to US government financing tools (DFC, EXIM Bank) for critical-minerals projects in Chile whose output is destined for US supply chains. The Trump administration has directed these agencies to prioritise upstream minerals deals. 3. Supply-chain security — framing aligns with the broader FORGE (Forum on Resource Geostrategic Engagement) architecture launched at the February 2026 Critical Minerals Ministerial, though Chile was not a founding FORGE signatory (the founding cohort of 11 bilaterals was signed 4 February 2026).

Chile's strategic weight in this context is outsized: it holds the world's largest copper reserves (~23% of global supply via Codelco and private operators), the third-largest lithium reserves (Atacama Salar; SQM and Codelco-JV with Albemarle), and significant iodine and molybdenum output. The Declaration signals US intent to anchor Chilean mineral output into allied supply chains ahead of any future nationalisation risk under a possible left-leaning successor government.

The Kast administration's economic orientation is aligned with foreign investment openness, making this the political window to formalise US access. The Declaration is notably broader in scope than FORGE founding bilaterals — it encompasses "rare earth elements" explicitly, which goes beyond Chile's current production profile (Chile has no commercially active REE production), suggesting the US is also seeking to lock in future REE exploration access in northern Chile.

Downstream implications

• Codelco / SQM: DFC and EXIM financing for qualifying projects could subsidise capex for Maricunga lithium (Codelco's CEOL licence), SQM's Atacama expansion, and copper brownfield extensions; watch for specific project-level agreements emerging from the 15-day consultation window.
• FORGE architecture: This bilateral extends the FORGE-adjacent US supply-chain perimeter to Chile's uniquely concentrated copper and lithium output, partially compensating for Chile's absence from the February 2026 founding cohort.
• Regulatory risk hedge: The Declaration creates a US-government-endorsed investment framework that could complicate any future Chilean administration's ability to unilaterally revoke foreign mineral licences without triggering bilateral friction.
• REE angle: Explicit inclusion of REEs in scope is notable — Chile lacks current REE production but northern Atacama geology may host REE-bearing carbonatites. Watch for US Geological Survey cooperation agreements as a follow-on.

Open questions

• Will the within-15-day consultation produce a binding MoU or remain a political declaration?
• Which specific projects will be nominated for DFC/EXIM financing?
• Does Chile intend to formally join FORGE, or remain a parallel bilateral partner?
• How does the Declaration interact with Chile's 2026 National Critical Minerals Strategy (announced 27 January 2026), which emphasises domestic value-add and co-processing mandates that may tension with raw-export financing incentives?