*This Insights Article is an excerpt from a paper written by DevTech Intern Rex Crespin for the Association for the Study of the Cuban Economy. To read the full paper, read the pdf attached at the end of the article.
Introduction
The global landscape is undergoing significant transformation, driven by increasing calls for sustainability. Yet underlying this push for green energy lies another crucial demand: the need for critical minerals. These minerals, such as lithium, cobalt, and nickel are indispensable for the green energy transition, from electric vehicles to advanced energy storage systems. Against this backdrop, Cuba, a nation with a rich mining history, finds itself at a pivotal moment, possessing substantial yet largely underexploited mineral reserves. Historically a significant player, Cuba’s mining sector has struggled to keep pace with global demand and technological advancements. Furthermore, Cuba’s mining industry has caused detrimental damage to the environment and communities surrounding these mines, further complicating the development of a potentially pivotal sector. Despite possessing substantial, underexploited reserves of critical minerals essential for the global energy transition, Cuba’s mining sector remains significantly underdeveloped due to persistent capital shortages and restrictive economic policies. Unlocking its full potential, while addressing global supply chain concerns and mitigating environmental and social impacts, hinges on attracting strategic foreign investment.
Significance of Critical Minerals
As previously stated, the demand for cleaner energy and more sustainable technologies has shifted the world’s markets towards critical minerals and rare earth elements. They are imperative for producing carbon-free and low-carbon technologies such as electric cars, wind turbines, solar panels, and batteries. According to the International Energy Agency (IEA), the demand for these minerals will need to triple by 2030 and quadruple by 2040 if the globe is to achieve net-zero emissions.1 This presents a plethora of new challenges, including sustainably extracting these minerals, ensuring secure and affordable supplies, and addressing their production and refining. Although the metals go towards products will have a smaller carbon footprint compared to their counterparts, the production and extraction has the potential to have large environmental and social consequences.
The figure above demonstrates the robust need for these minerals to achieve comprehensive green energy efficiency. The following section will delve into the key minerals produced by Cuba.
Note: The Sustainable Development Scenario (SDS) is a climate-driven scenario developed by the International Energy Agency (IEA) in their World Energy Outlook reports. It outlines a path for the global energy system to achieve climate change goals consistent with the Paris Agreement, along with improving air quality and providing access to modern energy. The SDS specifically assumes that countries and companies successfully meet their announced net-zero emissions targets, mostly by 2050, leading the world as a whole to reach net-zero before 2070. This scenario serves as a key benchmark for the IEA’s analysis of future mineral requirements and the deployment of clean energy technologies.
Economic Overview
Cuba’s economy exhibits a significant reliance on primary product exports, with agricultural products, other commodities, and metals and minerals collectively dominating its export basket. In 2023, metals and minerals constituted approximately 23% of total exports. The nation’s standing in global trade and economic sophistication is notably low, evidenced by its 141st ranking in exports and 125th in the Economic Complexity Index in 2023, representing a considerable decline of 96 positions over the preceding decade. Moreover, Cuba ranked 85th (of 132) in trade complexity, 96th (of 96) in technology complexity, and 121st (of 137) in research complexity.2 This economic profile suggests a limited degree of industrial diversification and value added production. The substantial drop in the Economic Complexity Index indicates a weakening of Cuba’s ability to produce diverse and sophisticated goods, which are typically associated with higher economic growth and resilience.
Cuba’s Mining: Colonization to Today
Cuba’s rich mining history, dating back to 1492, has evolved significantly over centuries, from early Spanish gold prospecting to a state-controlled industry with a current focus on nickel and cobalt.3 Historically, Spanish colonization-initiated mining activities, initially for gold, then shifting to copper with the discovery of the El Cobre deposit in 1534.4 The 19th century saw British and American investment in copper and iron mining. However, foreign control of mineral wealth largely ended with the 1959 Revolution, which nationalized assets and established state control, aligning with Soviet trade agreements.5 This had immediate negative effects with Cuba dropping from the third-highest producer of nickel in 1958 to sixth in 1963. The collapse of the USSR in 1991 further severely impacted Cuba’s mining sector, leading to a decline in production and investment.6 For example, Cuba’s global nickel production ranking dropped to tenth in 2013, and copper production ceased to be reported after 2001.7 Furthermore, the graph below from Harvard’s Atlas of Economic Complexity shows that Cuba’s export market share of metals and minerals, although volatile, has gone down significantly over the past 30 years.
Read the full paper below:
1 International Energy Agency. The Role of Critical Minerals in Clean Energy Transitions. Paris: International Energy Agency, 2021. https://iea.blob.core.windows.net/assets/ffd2a83b-8c30-4e9d-980a-52b6d9a86fdc/TheRoleofCriticalMineralsinCleanEnergyTransitions.pdf.
2 The Observatory of Economic Complexity. “Cuba (Country Profile).” Accessed July 31, 2025. https://oec.world/en/profile/country/cub?yearSelector1=exportGrowthYear25&selector343id=Export&selector345id=2023&selector2432id=5.
3 Dam, Samudrapom. “Cobalt Mining: An Overview of the Mining Process.” AZoMining, July 9, 2024. Accessed July 31, 2025. https://www.azomining.com/Article.aspx?ArticleID=218.
4 Dam, Samudrapom. “Cobalt Mining: An Overview of the Mining Process.” AZoMining, July 9, 2024. Accessed July 31, 2025. https://www.azomining.com/Article.aspx?ArticleID=218.
5 Dam, Samudrapom. “Cobalt Mining: An Overview of the Mining Process.” AZoMining, July 9, 2024. Accessed July 31, 2025. https://www.azomining.com/Article.aspx?ArticleID=218.
6 U.S. Geological Survey. Recebt Trends in Cuba’s Mining and Petroleum Industries. 2015. https://pubs.usgs.gov/fs/2015/3032/fs20153032.pdf.
7 U.S. Geological Survey. Recebt Trends in Cuba’s Mining and Petroleum Industries. 2015. https://pubs.usgs.gov/fs/2015/3032/fs20153032.pdf.
