Critical Minerals & Battery-Materials Supply Chains
Legal advice on critical minerals and battery-materials supply chains with a Bangladesh connection, including mineral exploration and licensing, heavy mineral sands, battery manufacturing and recycling, import and offtake contracts, financing, export controls, sanctions and the traceability and due diligence demands of international buyers and lenders.
- Map the chain
- Assess the risks
- Structure and document
- Monitor and respond
Critical minerals and battery supply chains with a Bangladesh connection
Demand for critical minerals such as lithium, nickel, cobalt, graphite, manganese, rare earths and titanium is reshaping supply chains for batteries, electronics and electric vehicles. Bangladesh is not a major mining jurisdiction, but it is increasingly part of these chains: as a battery manufacturer and exporter, as an assembler of electric vehicles and energy storage systems, as a location for recycling, and as a country with its own mineral resources, including coastal mineral sands. We advise investors, manufacturers, traders, lenders and buyers on the resulting legal issues. This work sits within the firm's corporate and finance practice in Bangladesh.
Within Bangladesh, mineral exploration and extraction are regulated under the Mines and Minerals Act 1992 and the rules made under it, with licences for exploration, mining and quarrying administered by the Bureau of Mineral Development under the Energy and Mineral Resources Division. The Geological Survey of Bangladesh carries out geological work, and heavy mineral sands along the south-eastern coast contain minerals such as ilmenite, zircon, rutile and monazite. Some of these materials may raise radiation safety questions. Because policy on critical minerals is evolving, we check the current position for each project rather than relying on older assumptions.
For most clients, critical minerals questions are contractual and regulatory rather than geological. Battery and component manufacturers need secure supply of cathode, anode and cell materials, often imported under long-term supply or offtake contracts with price adjustment, quality, traceability and force majeure provisions. Imports must be classified correctly for customs duty and VAT, and may require import permits or product standards approvals. Investments in battery plants or recycling facilities involve registration with Invest Bangladesh or BEPZA, environmental clearance, hazardous waste rules and, frequently, project or trade finance. We bring these strands together in a single legal plan.
International rules increasingly follow the materials. The EU Battery Regulation introduces due diligence, carbon footprint, recycled content and labelling obligations for batteries placed on the European market, with some timelines being revised. Producing countries have imposed export controls on certain minerals and processing technologies, and incentive schemes in the United States and elsewhere include sourcing restrictions. Sanctions programmes can affect counterparties and shipping routes. Bangladeshi exporters selling batteries or battery-containing products abroad, and foreign investors sourcing from Bangladesh, need contracts and compliance systems that can supply the information buyers and regulators now expect about critical minerals.
Barrister Tahmidur Rahman advises on transactions, finance and investment, including supply, offtake and prepayment structures, and Barrister Remura Meheruba Mahbub advises on corporate, banking and foreign investment aspects. Disputes over supply, quality or payment are handled with the firm's dispute resolution lawyers, led by founding partner Adv Syed Wahid, including international arbitration.
We work with technical consultants and with counsel in the UK, US, UAE, China, India and Singapore, where many supply chain counterparties are based. To discuss a critical minerals project, supply contract or compliance question, please contact our Dhaka office with a short summary and the key documents.
Core workstreams
Four clear stages
- 01Map the chain
- 02Assess the risks
- 03Structure and document
- 04Monitor and respond
Talk to a partner
Consultations in Dhaka or by video. Scope, team and fees are agreed in writing first.
Book →How we support critical minerals and battery projects
Mineral licensing and exploration
- Map the chain
- Assess the risks
- Structure and document
- Monitor and respond
Supply and offtake agreements
- Map the chain
- Assess the risks
- Structure and document
- Monitor and respond
Battery manufacturing investments
- Map the chain
- Assess the risks
- Structure and document
- Monitor and respond
Recycling and hazardous waste
- Map the chain
- Assess the risks
- Structure and document
- Monitor and respond
Trade, customs and export controls
- Map the chain
- Assess the risks
- Structure and document
- Monitor and respond
Supply chain due diligence
- Map the chain
- Assess the risks
- Structure and document
- Monitor and respond
Mineral licensing and exploration
We advise on the licensing framework for exploration, mining and quarrying under the Mines and Minerals Act 1992 and related rules, the role of the Bureau of Mineral Development and other public bodies, joint arrangements with state entities, land access, environmental clearance and royalty obligations. For coastal and offshore mineral interests, we consider the regulatory bodies involved and any special rules that apply to radioactive or strategic materials. Community issues are addressed early.
Supply and offtake agreements
We draft and negotiate long-term supply, offtake, tolling and distribution agreements for battery materials, cells, modules and recycled materials. Key terms include specifications, quality testing, traceability and certificates of origin, pricing formulas linked to benchmark indices, volume commitments, take-or-pay, force majeure, sanctions and export control clauses, termination rights and dispute resolution, usually by international arbitration with a neutral seat. Each agreement is tailored to the specific critical minerals involved.
Battery manufacturing investments
We advise local and foreign investors on establishing battery, cell assembly, energy storage and electric vehicle component plants in Bangladesh, including entity structure, registration with Invest Bangladesh, BEPZA or the Hi-Tech Park Authority, incentives, technology licences, land or zone leases, environmental and fire approvals, product standards, and the joint venture and shareholder arrangements that often accompany technology partnerships. Secure access to critical minerals is often a key condition for these investments.
Recycling and hazardous waste
Lead-acid and lithium-ion battery recycling raises environmental, health and safety issues. We advise on environmental clearance, hazardous waste and e-waste rules, collection and take-back arrangements, import and export of used batteries and scrap, transport and storage, and contracts with collectors and processors. We also help businesses meet buyer and lender requirements on responsible recycling and worker safety across the recycling chain. Recovery of critical minerals from batteries is a growing commercial opportunity.
Trade, customs and export controls
We advise on import policy requirements, customs classification and valuation, duties and VAT for battery materials and components, and on the export control and sanctions rules of other countries that can apply to critical minerals and related technologies. We help clients screen counterparties, structure shipments and payment routes, and draft compliance undertakings that are realistic and properly allocated between buyer and seller. Rapid regulatory changes are tracked for clients.
Supply chain due diligence
Buyers in Europe and elsewhere increasingly require evidence of responsible sourcing, from mine to finished product. We help Bangladeshi manufacturers and exporters understand what customers and regulations require, review supplier codes and data requests, map their own suppliers, and build contractual and documentary systems that support traceability claims, with appropriate protection against liability for information they cannot independently verify. Traceability for critical minerals is now a common buyer expectation.
Partner-led, on every matter.
Corporate & Finance matters at TRW are led by partners, supported by associates, with one responsible lawyer from first advice to final outcome.
Meet the firm →01Does Bangladesh have critical minerals resources that investors can access?
Bangladesh has known deposits of coal, hard rock, limestone and other minerals, and heavy mineral sands along its south-eastern coast contain titanium and zirconium minerals and monazite, which can contain rare earth elements. Viability depends on geology, environmental and community considerations, and government policy. Exploration and mining require licences under the Mines and Minerals Act 1992 framework, and some materials involve state bodies or additional regulation. We advise investors on the current licensing route, the public bodies involved and the realistic legal pathway, bearing in mind that licence conditions, community consultation and environmental assessment shape what is achievable.
02What should a battery manufacturer include in a long-term supply contract for critical minerals?
The contract should cover precise specifications and testing, delivery terms, volume commitments and flexibility, a transparent pricing mechanism linked to an appropriate index with adjustment rules, quality claims procedures, traceability and documentation obligations, and sanctions and export control provisions. Force majeure and change-in-law clauses should address export bans and new regulations, which have become more common. Payment security, such as letters of credit, and dispute resolution through international arbitration are usually important. We draft supply contracts that reflect Bangladesh import, customs and foreign exchange requirements alongside these commercial points. Payment terms should be precise.
03How does the EU Battery Regulation affect Bangladeshi exporters of batteries and critical minerals products?
The EU Battery Regulation applies to batteries placed on the EU market, including batteries contained in other products. It introduces requirements on labelling, performance, carbon footprint declarations, recycled content, extended producer responsibility and, for certain economic operators, supply chain due diligence on raw materials, although some timelines have been changed. Bangladeshi manufacturers supplying batteries or battery-containing products into Europe are likely to receive detailed information requests and contractual obligations from their customers. We help exporters understand these requirements, respond accurately and negotiate proportionate obligations, starting with organised supplier declarations, origin records and test data.
04Can export controls in other countries affect our supply of battery materials?
Yes. Several producing countries have introduced export licensing or restrictions on certain minerals, processed materials and technologies, including some graphite products and other inputs relevant to batteries and electronics. These measures can delay shipments, increase costs or make performance impossible. Sanctions rules can also restrict dealings with particular companies or countries. Contracts should allocate these risks clearly and include notice, mitigation and termination provisions. We help clients assess exposure, identify qualified alternative suppliers and routes before a restriction takes effect, and draft contracts that respond to sudden changes in export rules.
05What approvals are needed to set up a battery plant using critical minerals in Bangladesh?
The main steps usually include company formation, investment registration with Invest Bangladesh or, in an export processing zone, BEPZA, land or zone allocation, environmental clearance appropriate to the plant's category, fire and building approvals, factory registration, import registrations, and product standards approvals for certain products. Plants handling hazardous chemicals or waste face additional requirements. Incentives may depend on location and activity. We prepare a consolidated approvals plan, identify the critical path and sequence dependent applications, such as land allocation and environmental clearance, so that none stalls the others.
06How is battery recycling and recovery of critical minerals regulated in Bangladesh?
Battery recycling engages environmental law, including environmental clearance requirements and rules on hazardous waste and e-waste, as well as labour, health and safety rules for workers handling lead and other hazardous substances. Imports and exports of used batteries and scrap may be restricted or require permits, and international rules on transboundary movement of hazardous waste can apply. Informal recycling remains a concern for regulators and buyers. We advise recyclers, battery producers and investors on compliant collection, processing and trading structures, and on keeping the waste transfer records, permits and safety documentation that buyers and financiers expect.
07How can critical minerals supply chain projects in Bangladesh be financed?
Options include trade finance through letters of credit, structured commodity prepayment and pre-export finance, supplier credit, equipment leasing, project finance for larger plants and investment from strategic partners or development finance institutions. Foreign borrowing must comply with Bangladesh Bank rules, and lenders will impose environmental, social and sourcing conditions. The Finance Act 2026 reduced withholding on interest paid to non-residents to 10%, which affects the cost of foreign debt. We advise borrowers and lenders on structuring and approvals, and on security, which commonly draws on equipment, receivables, offtake contracts and sponsor support, with lender conditions negotiated early.
08What happens if a supplier delivers off-specification battery materials?
The answer depends on the contract's specification, inspection, acceptance and claims provisions, including any time limits for raising quality claims and the testing method agreed. Give written notice within the contractual period, agree a joint sampling protocol, use independent testing and keep samples and test reports. Remedies may include price reduction, replacement, rejection or damages, subject to liability caps. If negotiation fails, disputes are commonly resolved by international arbitration. We advise on quality claims and, with the firm's dispute resolution team, pursue or defend claims, including enforcement of arbitral awards in Bangladesh and abroad.
From first call to resolution.
- 01
Map the chain
We identify the materials, counterparties, jurisdictions, approvals and documents involved, from mineral source to finished product, and the legal rules that apply at each stage of the supply chain. Critical minerals inputs are listed separately for review.
- 02
Assess the risks
We assess licensing, regulatory, sanctions, export control, contractual and due diligence risks, and explain which can be managed through drafting, which need approvals and which need technical or commercial solutions. Risks are ranked by likely impact. For each material risk we set out options, such as contractual protection, an approval to obtain or a change to the supply plan.
- 03
Structure and document
We prepare or negotiate the investment, supply, offtake, financing and compliance documents, and coordinate applications and approvals in Bangladesh and with counsel in other relevant jurisdictions. Each contract is checked for consistency across the whole chain.
- 04
Monitor and respond
We track changes in Bangladesh law and in export controls, sanctions and buyer regulations abroad, and advise quickly when a shipment, contract or audit raises a new issue. Periodic reviews keep documents current and enforceable. Clients receive short updates when a rule, sanction listing or buyer requirement changes in a way that affects their contracts.
“Demonstrates an extraordinary command over both domestic litigation and international arbitration.”
The Legal 500 Asia Pacific, Bangladesh: Dispute resolution, client feedback
What are critical minerals, and why do they matter for Bangladesh?
Which Bangladesh authority regulates mining and critical minerals exploration?
Do Bangladeshi battery exporters need to trace the critical minerals in their products?
Can foreign investors own battery plants in Bangladesh?
Are used batteries and battery scrap allowed to be imported into Bangladesh?
How are critical minerals supply disputes resolved when contracts cross borders?
Does sanctions screening matter for critical minerals and battery supply chains?
How do we start working with TRW on a critical minerals matter?
Build a resilient and compliant supply chain
Speak with the partners about critical minerals in Bangladesh or across borders.
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