"The Trump administration announced this week the U.S. government would work to build a $11.7 billion stockpile of critical minerals. That's the headline; the subtext is more intriguing. The stockpile initiative, branded as Project Vault, is the latest attempt by the administration to secure supplies of critical minerals for U.S. manufacturers and what President Donald Trump says will ensure "American businesses and workers are never harmed by any shortage.""
"In his announcement, Trump alluded to the world's dependence on China for a slew of critical minerals. Over the last year-plus, China has wielded its dominance to counter tariff threats from the Trump administration, restricting exports of rare earth metals and lithium battery materials to the United States. Eventually, China relented, but the episode made clear who held the trump card."
The U.S. government will build an $11.7 billion stockpile of critical minerals under Project Vault to secure supplies for domestic manufacturers. The administration has taken equity stakes in rare earth producers such as USA Rare Earth and MP Materials to strengthen supply. These moves aim to calm markets disrupted by trade tensions and to reduce vulnerability to export controls. The measures reflect the rising importance of electric technologies, including electric vehicles and wind turbines, which depend on these minerals. China used export restrictions on rare earths and lithium materials during recent tariff disputes, exposing supply risks. The initiative is compared to the Strategic Petroleum Reserve as an industrial buffer, while the oil reserve's importance has declined amid increased U.S. oil production and growth in solar, wind, and battery energy.
Read at TechCrunch
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