US Appreciates Pakistan's Counter-Terrorism Engagement Amid Mineral Deal Talks
The US has extended Independence Day greetings to Pakistan, stating it "deeply appreciates Pakistan's engagement on counterterrorism and trade," a statement seen as warming relations. This comes as Washington expresses interest in Pakistan's critical mineral and hydrocarbon reserves, a move analysts believe is aimed at countering China's dominance in the rare earth market. The engagement follows the US designation of the Balochistan Liberation Army (BLA) as a terrorist group, a move that could help safeguard future US investments in the region.
Unpacked:
The US seeks access to Pakistan's reserves to diversify its supply of rare earth elements and hydrocarbons, aiming to reduce dependence on China, which currently dominates the global rare earth market. This aligns with broader US efforts to secure critical supply chains and maintain strategic leverage in emerging technologies.
The BLA is a separatist militant organization operating primarily in Pakistan’s Balochistan province. It has conducted attacks targeting security forces and foreign nationals, including Chinese citizens. The US designated the BLA as a terrorist group to curb its activities and to safeguard investments and personnel, especially amid increased geopolitical interest in the region.
US-Pakistan relations have improved, marked by joint counterterrorism efforts and positive diplomatic statements. Recent talks have focused on intelligence sharing, security cooperation, and addressing threats from groups like the BLA and TTP, reflecting a renewed emphasis on regional stability and shared security objectives.
China has invested heavily in Pakistan, particularly through the China-Pakistan Economic Corridor, and faces security threats from groups like the BLA. The US’s engagement on counterterrorism and resource cooperation is partly aimed at counterbalancing China’s influence and ensuring the security of both Western and Chinese investments in Pakistan.