Friend-Shoring Critical Minerals: Investment Law at the Intersection of Geo–economics and Treaty Restraint

Abstract This article examines how critical minerals (CM) supply security has been absorbed into the evolving concept of national security underpinning foreign investment screening (FIS), using Australia’s treatment of Chinese CM investment as a case study. It argues that FIS now functions as a tool of strategic alignment through selective, opaque restrictions under the logic of friend-shoring. This shift raises structural tensions with Australia’s obligations under international investment agreements (IIAs). Through analysis of Australia’s FIS regime, its implementation shaped by a CM friend-shoring strategy, and potential conflicts with its IIAs with China, the article situates Australia within a broader global trend in which the expansion of FIS increasingly challenges the coherence of international investment law. It offers a novel conceptualization of FIS as a legal expression of the geoeconomic turn and proposes recommendations for reconciling strategic regulatory discretion with treaty-based commitments in an era of contested globalization.