The newly concluded Australia-European Union Free Trade Agreement (FTA) is expected to strengthen global critical minerals supply chains and improve investment confidence in Australia’s resources sector, industry body the Minerals Council of Australia (MCA) said on Tuesday.

In a statement released during Minerals Week 2026 in Canberra, MCA CEO Tania Constable described the agreement as a “major boost” for the sector, particularly in supporting the supply of critical minerals and enhancing the resilience and security of global supply chains.

The agreement, concluded under the leadership of the Australian government, reinforces the Australia–EU strategic partnership on critical minerals by establishing a rules-based framework to support market access, long-term cooperation and investment across the minerals value chain.

Constable noted that the removal of tariffs on resources and critical minerals would improve Australia’s competitiveness and support predictable, open trade with a key strategic partner.

The FTA is also expected to enhance investment certainty and unlock greater EU participation in Australian mining projects, downstream processing and critical minerals supply chains.

The MCA noted that the agreement created opportunities for value addition across a range of commodities, including lithium, rare earths, antimony, nickel, cobalt, copper and uranium, which are critical to energy systems, defence technologies and advanced manufacturing.

The deal further includes provisions for mutual recognition of qualifications and professional services, which are expected to improve workforce mobility and strengthen industrial capability by enabling the more efficient deployment of engineering, technical and specialist skills.

In addition, the agreement incorporates intellectual property protections and technology frameworks aimed at supporting innovation, collaboration and secure technology sharing across critical minerals and defence-related supply chains.

The MCA said the agreement would play a key role in diversifying supply chains and reducing reliance on concentrated or higher-risk sources of supply, positioning Australia as a reliable long-term supplier to the EU and other like-minded partners.

“By reducing trade barriers and improving regulatory certainty, the agreement helps address vulnerabilities in global supply chains,” Constable said, adding that the sector would continue working with governments to ensure the agreement delivered practical outcomes for industry.