ASEAN Nations Risk Exploitation in Global Critical Minerals Race

The report, titled Extraction to Equity, scrutinizes trade deals involving Cambodia, Indonesia, the Philippines, and Thailand, revealing a persistent absence of local-benefit clauses and robust ESG requirements. By analyzing data through late 2025, researchers found that these nations are consistently shipping raw materials abroad for processing, effectively losing out on the value added during the transition to clean energy. The authors also raised concerns regarding the true drivers of demand, questioning whether the rapid expansion of mining is serving renewable energy goals or primarily fueling military and defense requirements.

Experts argue that the current model of extractivism must be replaced by mandatory safeguards. Bernadette Victorio, Program Lead at Fair Finance Asia, emphasized that local communities remain the ultimate stakeholders but currently lack the leverage to demand better terms. To address these gaps, the report urges ASEAN regulators to move beyond voluntary commitments, advocating instead for the adoption of UN principles that center on community rights, revenue transparency, and free, prior, and informed consent. Without policy intervention, the report concludes that the environmental and social costs of the transition will continue to fall heavily on the populations living at the frontlines of extraction.