Greenland’s harsh environment, lack of key infrastructure, and difficult geology have prevented the establishment of mines for rare earth elements essential for many high-tech products. Even if efforts to assert control over the Arctic island progress, these challenges remain obstinate.

The U.S. has prioritized breaking China’s hold on the global supply of rare earths, particularly after China restricted exports in response to U.S. tariffs last year. While investments have been made to encourage domestic sourcing, the actual potential of Greenland’s resources is still under debate.

“We are going to do something on Greenland whether they like it or not,” stated former President Trump's administration, yet actual extraction efforts have faced numerous hurdles.

Extracting the estimated 1.5 million tons of rare earths in Greenland remains largely exploratory. Industry experts argue that the focus on Greenland has geopolitical implications, particularly regarding countering Russian and Chinese influence in the Arctic, rather than addressing the real supply chain challenges faced by the tech industry.

Mining in Greenland is difficult due to its remoteness, requiring substantial infrastructure development to access the resources. Moreover, environmental concerns arise, as the extraction process can lead to significant pollution.

Moreover, rare earths in Greenland are typically found in the mineral eudialyte, which poses challenges for efficient extraction methods that have not yet been established. David Abraham, a rare earths expert, emphasizes the need to focus on more easily accessible resources rather than pursuing Greenland's untapped potential.

The automotive and technology sectors face imminent supply challenges, but many existing projects outside of Greenland are much closer to market readiness. The U.S. may be better served by supporting proven extraction initiatives in more accessible locations rather than investing in Greenland's unproven potential.

As companies explore mining possibilities in Greenland, it remains imperative for stakeholders to weigh the economic, environmental, and strategic implications of pursuing this endeavor.