Indonesian President Prabowo Subianto has instructed the formation of a new state-owned enterprise, Perminas, dedicated exclusively to the management of rare earth mineral resources. This move follows Indonesia's success in nickel downstreaming and aims to secure the nation's position in the global green energy supply chain. Perminas will oversee everything from extraction to high-tech processing.

Rare earth minerals are critical components for electric vehicle (EV) batteries, wind turbines, and advanced electronics. By controlling these resources, Indonesia aims to move up the value chain from a raw material exporter to a high-tech manufacturing hub. The government is also planning to ban the export of raw rare earth ores to encourage domestic processing, similar to its previous nickel policy.

International tech giants are reportedly already in talks with the Indonesian government to secure future supplies. However, environmental groups have raised concerns about the impact of rare earth mining on local ecosystems. Perminas has responded by promising to implement "green mining" standards and ensure that local communities benefit from the wealth generated by these strategic minerals.