Western Australia has secured a fresh pathway for its critical minerals trade by signing a joint communiqué with Italy’s export credit agency, SACE. The agreement is designed to strengthen commercial ties in battery materials and support the broader energy transition.
The deal links Western Australia with Servizi Assicurativi del Commercio Estero S.p.A. (SACE), the Italian state-backed agency responsible for supporting Italian companies trading and investing abroad. Under the communiqué, businesses from both Western Australia and Italy will collaborate on critical raw materials supply chains, joint projects and commercial agreements.
WA Mines, Petroleum and Exploration Minister Daniel Pastorelli underscored the significance of the agreement, stating, “Western Australia is helping power the global energy transition through our world-leading critical minerals sector.”
Trade Volumes and European Supply Diversification
Trade between Italy and Western Australia exceeded $900 million in the most recent financial year. There is considerable scope for growth as European nations actively seek supply alternatives outside China, which currently handles more than 90 per cent of the world’s rare earths processing.
The critical minerals trade agreement was formalised when SACE chairman Guglielmo Picchi signed alongside Western Australia’s Agent General, Rebecca Tomkinson. The signing took place at Invest and Trade Western Australia’s Beyond the Pitch breakfast, an event specifically designed to connect firms from both economies.
Pastorelli noted Western Australia’s credentials as a destination for international investment, saying, “As a trusted and reliable investment destination, WA is well placed to build stronger international partnerships that support secure and resilient supply chains.”
Building on a Series of Strategic Agreements
The Italian communiqué is the latest in a series of similar agreements Western Australia has pursued to connect buyers with the state’s reserves of lithium, nickel, cobalt and rare earths. The critical minerals trade strategy has gathered momentum in recent months across multiple fronts.
In May, six Western Australian and Australian projects featured in an Australia–Japan declaration underpinned by A$1.67 billion in combined government funding. Separately, the federal government committed $45 million to Sicona Battery Technologies to boost battery anode production at Port Kembla in New South Wales.
These developments reflect growing international demand for secure battery materials supply chains and diversified sources of energy transition minerals. Western Australia’s position as a major producer of critical raw materials places the state at the centre of global efforts to reduce dependence on concentrated rare earths processing capacity.
Pastorelli confirmed the government’s commitment to deepening the relationship with Italy, stating, “The Government looks forward to working more closely with Italy to unlock new opportunities in critical minerals and battery industries.”
The agreement with SACE signals that critical minerals trade between Western Australia and European partners is set to expand further, as both sides look to establish resilient and commercially viable supply chains for the materials underpinning the global energy transition.