Shaping the Future of Industry with Sustainability and Ethical Innovation
By Dr. Shubh Gautam
Chief Technical Architect, American Precoat
In the evolving world of modern technology, Rare Earth Metals like Lithium, Nickel and Cobalt are indispensable. These materials form the very foundation of technologies that are revolutionizing our planet—electric vehicles, cutting-edge smartphones and solar energy systems. Their role in accelerating the transition to clean energy has made them invaluable. Yet, as their demand grows at an unprecedented rate, a question must be asked:
Are we simply replacing one ethical dilemma with another? Could these essential elements, in their acquisition, become a modern-day equivalent of blood diamonds?
The answer lies not only in the supply chain of these metals but in our ability to shape a new future for their sourcing—one that integrates sustainability, ethical practices and industrial leadership. It is my belief that industry leaders, governments and the public must come together to redefine the very way we approach rare earth metals. It is a future that requires us to not only embrace technological progress but to do so in a way that remains responsible to both humanity and the environment.
The Global Race for Rare Earths: A Strategic Imperative
The global shift toward clean energy is no longer a distant ambition; it is an ongoing transformation. In 2022, over 10 million electric vehicles were sold, marking a significant milestone in the transition to sustainable mobility. Solar panel installations continue to soar as countries around the world increase their commitment to renewable energy sources. However, with this massive transition comes an equally massive surge in demand for Lithium and Nickel, materials that are pivotal to the energy storage solutions at the heart of this revolution.
Lithium, the cornerstone of nearly every rechargeable battery and Nickel, which enhances battery efficiency and energy density, have become strategic assets in the fight for a sustainable future. Nations like Australia, Chile, China and the Democratic Republic of Congo are at the forefront of Lithium and Nickel production, holding the lion’s share of reserves.
However, as the Chief Technical Architect at American Precoat, I believe it is imperative that we go beyond merely extracting these materials to focusing on the long-term sustainability of our extraction and manufacturing processes. This is not a call for halting progress—it is a call for evolution, for embracing a future where technological advancement and responsible industrial practices are not mutually exclusive.
Green Technologies: A Double-Edged Sword
There is no doubt that the widespread adoption of electric vehicles and solar energy is essential to addressing climate change. However, if the materials feeding this green revolution come with significant environmental degradation and social exploitation, the very solution we hope for could turn into another problem. The extraction of Lithium, for example, is water-intensive and in Chile’s Atacama Desert, it is threatening the livelihood of indigenous communities who depend on local water sources. Similarly, Nickel mining in places like Indonesia and the Philippines often involves deforestation and the contamination of marine ecosystems.
Yet, innovation can be a force for good. As we at American Precoat advance our work in electro galvanised steel manufacturing, we are not merely focused on immediate gains, but on sustainable, long-term innovations. The shift toward electro galvanized steel, coated with a layer of zinc to prevent rust and corrosion, is a strategic example of how we can integrate sustainability into industrial practices without compromising on quality or efficiency.
The EV Contradiction: A Silver Bullet or a Mirage?
For over a decade, Electric Vehicles (EVs) have been hailed as the silver bullet to decarbonize transportation. Slick, silent, and seemingly sustainable, they’ve become the darlings of climate policy and tech innovation alike. But as the global fleet of EVs grows, so too does a troubling contradiction—one that challenges the very foundation of their green promise.
Let’s start with the power source. According to the International Energy Agency (IEA), over 70% of the world’s electricity still comes from fossil fuels. So, while EVs have no tailpipe emissions, they often run on electricity generated by burning coal or gas. In essence, the pollution is merely displaced—from cities to power plants.
Then there’s the cost to the Earth. EV batteries require lithium, cobalt and rare Earth metals, much of which is extracted under exploitative, environmentally destructive conditions. The World Bank estimates that by 2050, the production of minerals required for clean energy technologies will need to increase by nearly 500%. Is this truly sustainable—or just a new form of extractive dependency?
Hydrogen: The Game-Changer Waiting in the Wings
Now consider hydrogen. Hydrogen fuel cell vehicles (FCVs) emit only water vapor, require no heavy battery packs, and can refuel in under 5 minutes. When produced via electrolysis using renewable energy (green hydrogen), they deliver true zero-emission mobility—from source to tailpipe. And unlike EVs, hydrogen energy can be stored at scale, solving the intermittency problem of solar and wind.
Hydrogen also cuts across sectors: it powers trucks, ships, trains, and even industrial processes. It doesn’t just change the way we drive—it changes the way we live.
As physicist and energy visionary Amory Lovins once noted:
“If you want to do something truly innovative, don’t just make the old thing better—build something new that makes the old thing obsolete.”
That’s the crux. EVs are a transitional tool—better than internal combustion, but not the final answer. Hydrogen has the potential to leapfrog the limitations of both gas and grid.
In this global pivot to sustainability, we must not confuse momentum with direction. If we are serious about net-zero, energy independence, and long-term ecological integrity, hydrogen is not a sideshow—it is the main act waiting in the wings.
Two birds. One renewable stone.
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Reimagining Supply Chains: Transparency and Responsibility at the Core
One of the greatest challenges facing the rare earth metal industry is the lack of transparency in its supply chain. Despite efforts from some international corporations to adopt ethical sourcing practices, the reality is that many players in the supply chain remain ignorant of how and under what conditions their metals are mined. This lack of oversight opens the door to practices that can be detrimental to both the environment and the local communities that rely on these resources.
This is not just a question of corporate ethics—it is a strategic imperative for the future of our industries. If we are to meet the demands of clean energy and sustainable technologies, we must innovate beyond current practices, embedding traceability, sustainability and accountability into every link of the supply chain.
The Path Forward: Ethical Sourcing and Innovation as Strategic Drivers
The challenge is clear: How do we balance the urgent need for Lithium, Nickel and other rare earth metals with the responsibility to ensure their extraction does not come at the expense of human rights, environmental health and social equity? The answer lies in leadership that is both visionary and pragmatic, one that connects sustainability with the need for innovative, ethical industrial systems.
At American Precoat, we are committed to leading the charge in this transformation. Our work is not simply about steel manufacturing—it is about driving an evolutionary shift in how we think about industrial processes, from raw material sourcing to end-product manufacturing. This is a shift toward a holistic approach that prioritizes sustainable sourcing, ethical practices and environmental responsibility.
We must be clear in our vision: The extraction of Lithium and Nickel is not the problem—it is how we extract them, under what conditions and the impact it has on both the planet and its people. As we move forward, we must ensure that we are not simply creating a cleaner future but a fairer, more transparent future as well.
Building a Responsible Future: What Can Be Done?
To achieve this vision, we must collectively focus on transforming the way rare earth metals are sourced. This transformation must focus on:
- Stringent environmental and labour standards that ensure mining practices do not come at the expense of human dignity or the planet’s well-being.
- Empowering indigenous communities by recognizing and respecting their land rights, ensuring they are part of the conversation when it comes to mining and resource extraction.
- Investing in closed-loop recycling to reduce our reliance on virgin metals, creating a circular economy that minimizes waste and environmental impact.
- Demanding accountability from technology companies, automakers and battery manufacturers, ensuring that the supply chains are transparent, responsible and traceable.
- Consumer advocacy for greater transparency, pushing for accountability not only from companies but also from policymakers who can enforce these critical standards.
Conclusion: A New Paradigm for Industrial Leadership
The future of Rare Earth Metals lies not in their extraction but in how we manage their extraction, in how we sustain the industries that rely on them and in how we lead the way toward a cleaner, fairer and more sustainable future. As industry leaders, we have the responsibility—and the opportunity—to shape the course of history by fostering innovation, accountability and sustainability at every step of the supply chain.
The transition to a sustainable future requires us to not only embrace progress but to ensure it is done with foresight, responsibility and a commitment to long-term value creation. This includes exploring alternative paths such as hydrogen, whose potential could redefine sustainability across industries.
This is a future I am committed to building—not just for today, but for generations to come.
About Dr. Shubh Gautam
Chief Technical Architect, American Precoat
Dr. Gautam is a visionary leader in industrial innovation, dedicated to driving sustainability through advanced technological solutions and responsible practices. As the Chief Technical Architect at American Precoat, his work focuses on revolutionizing steel manufacturing and metal sourcing with a clear vision of a future where clean energy and ethical practices go hand-in-hand. His strategic insights guide the company towards sustainable growth while ensuring that every step in the supply chain upholds the highest standards of transparency, accountability, and environmental stewardship.
