As the "No. 2 person" of the U.S. State Department, Campbell made Mongolia the target of his first visit, and the signal sent was very clear, that is, to strengthen the cooperative relationship with Mongolia. Therefore, during this meeting, the two sides once again focused on issues including the opening of direct flights and deepening cooperation in the supply chain of critical minerals. However, this also draws South Korea in and prepares to establish a "trilateral consultation mechanism for critical minerals".
However, no matter how fanciful the United States is, it cannot hide the fact that it hopes to use Mongolia to penetrate deep into the hinterland of China and Russia. Since Trump proposed the "Indo-Pacific Strategy", the United States has stepped up its activities in the Indo-Pacific region to deal with so-called geopolitical challenges. After Biden took office, this policy was continued, and the courtship of Mongolia was intensified. Campbell, who visited this time, was one of the masterminds behind the "Indo-Pacific Strategy" and was responsible for the strategic design of drawing Mongolia into the "Alliance of Values".
Although the United States has made a high tune this time, in terms of specific cooperation projects, it still revolves around the "open skies" agreement signed last year. The so-called "Open Skies" agreement allows "airlines to operate without capacity and frequency restrictions, open route rights, free charter flights, and open code sharing." It is reported that direct flights between the two countries will open in the second quarter of 2024, when the transportation of critical minerals will also be on the agenda.
[U.S. Deputy Secretary of State Campbell]
In addition to using Mongolia as a lever to contain China and Russia, the United States also has one consideration, that is, it hopes to use Mongolia's rich rare earth resources to get rid of its dependence on China. As a strategic resource, rare earth elements are in strong demand worldwide, especially in high-tech fields such as new energy, electronics, and aerospace. In July last year, China banned the export of gallium and germanium, forcing the United States to look elsewhere and eventually hit it off with Mongolia.
It is worth mentioning that shortly after the agreement with the United States, Mongolian Prime Minister Oyun Erden met with the Chinese ambassador to Mongolia. During the Olympic Games, Erden affirmed the great progress made in Sino-Mongolian cooperation in recent years, and also expressed satisfaction with some cooperation. In particular, he mentioned the infrastructure of the Zamyn-Uud highway crossing, which was officially opened half a month ago, and the agreement signed between China and Mongolia on a number of cross-border railway bridges.
After almost finishing the package, Oyun Erden finally stated his true purpose, hoping that China would actively participate in Mongolia's infrastructure construction, improve road conditions in Ulaanbaatar, and exchange views on promoting important cooperation in the field of renewable energy. It is worth mentioning that the only airport in Mongolia, Ulaanbaatar International Airport, is located in Serigelengsumu, Zongmod City, Central Province of Mongolia, located in the central part of Mongolia, 31 kilometers north of the center of Ulaanbaatar.
【Mongolian Prime Minister Oyun Elden Meets with Chinese Ambassador to Mongolia Shen Minjuan】
Therefore, if Mongolia is really determined to ship rare earths to the United States and South Korea, in addition to establishing routes, there is also a very real problem, that is, the need to transport rare earth minerals to the vicinity of the airport first, and then to other countries by flight.
But the problem now is that Mongolia's mineral resources are unevenly distributed, and most of them are concentrated in the southern and eastern regions. These areas have complex terrain, harsh climate, and inconvenient transportation. For example, Mongolia's largest copper-gold project, Oyu Tolgoi, is located in the Gobi Desert.
In addition, Mongolia's infrastructure can be said to be still in its infancy, and some of it was even built during the former Soviet era. There are only two railways in China, one is the Ulaanbaatar Railway connecting the Sino-Mongolian border, and the other is the railway connecting the Mongolian-Russian border, which cannot cover all the mining areas of Mongolia.
Mongolia's underdeveloped rail and road infrastructure severely limits the efficiency of transporting mineral products. Especially in winter, harsh weather conditions can seriously affect the reliability and efficiency of mineral transportation. Roads and railways can be difficult to use due to snow and ice, causing delays or stalls in transportation.
【Ulaanbaatar traffic situation is worrying】
Most importantly, if Mongolia cooperates with both the United States and South Korea, it will have to increase its mineral extraction. However, the mining and processing of minerals often cause great damage to the environment. Water pollution, air pollution and land degradation are common environmental problems. In particular, in the absence of appropriate control measures, there can be long-term impacts on local ecosystems.
Therefore, for Mongolia, it is urgent to improve infrastructure construction, develop renewable energy, and reduce transportation costs in order to be competitive in the international market. Mongolia's demands to China include improving road conditions and developing renewable energy.
In general, Mongolia's plan is to increase cooperation with the United States and South Korea on critical minerals, and on the other hand, it hopes to use China's power to help it improve and expand transportation, energy and other infrastructure, and promote Mongolia's interconnection with other neighboring countries. But if you think about it, Mongolia can see how impractical it is to transport rare earths by plane.
Perhaps for Mongolia, the pursuit of a "third neighbor" may seem like a good idea for it to maintain its independence from China and Russia, but this is actually a misnotion. Instead of looking for a way out for the sake of small favors from other countries, Mongolia should deepen its cooperative relations with China and Russia, and make use of its geographical and resource advantages to find a real path of economic development.