U.S. scramble to replace Chinese minerals turns to Australia

China's weaponization of all-important rare earth minerals is sending the Trump administration scrambling to find new sources for the materials that power the modern world.Why it matters: From Australia to Ukraine, and at all points in between, the U.S. position on rare earth minerals in the Trump administration is clear — get them out of the ground, at any cost, and the sooner the better.The big picture: Virtually every important technology in society has components that won't function without rare earth minerals. They are elemental — literally and figuratively — to the global economy.They are also, as it happens, almost totally under the control of China as it stands today.The more China exerts that control, the more aggressive the administration gets, whether financially or diplomatically, to find alternatives. Catch up quick: The trade truce the world's two largest economies struck in early summer guaranteed the flow of crucial rare earth magnets out of China.That only lasted a few weeks, until the Chinese started cutting off supplies again and announced a new regulatory regime that would restrict global access. That prompted the U.S. to threaten fresh 100% tariffs on China, but also to accelerate the ongoing hunt for alternatives.The materials at issue are critical for computing and telecom equipment, F-35 fighter jets, drones, submarines and smart bombs.Under President Xi Jinping's "Made in China 2025" initiative, launched a decade ago, China has come to dominate the mining and processing of these minerals and other precious materials, such as lithium used in batteries.Zoom in: Australia is now offering itself to the U.S. as an alternate supplier. President Trump met top Australian officials in Washington Monday to discuss what might be possible. The sides reportedly signed a deal giving the U.S. access to an $8.5 billion pipeline of Australian minerals, with both countries pledging an initial $1 billion investment in minerals processing. Yes, but: Australian rare earths reserves are about one-eighth of what China has, per USGS data — and actual mine production is less than a tenth of what the Chinese put out.The deal struck Monday should improve that, but not in sufficient quantities to close the gap (yet).Zoom out: The U.S. is simultaneously taking steps to diversify its supply by expanding domestic production.By investing in MP Materials and helping to support Ramaco Resources, the government has made clear that extraction of domestic reserves will be a significant priority in the years to come.Domestic reserves, though, are a tiny fraction of even Australia's.What to watch: The U.S. has plenty of irons in the fire, as it were, to get minerals elsewhere.A deal with Ukraine earlier this year gives the U.S. preferential access to the country's reserves. Trump has also made clear his ambitions for control over Greenland, which has significant mineral reserves as well. The bottom line: If you don't know what scandium and yttrium are, start brushing up, because they and other minerals may determine the course of both the global economy and geopolitics in the years to come. Marc Caputo contributed.

Comments

World news

Global News

The ‘Client List’, Mar-A-Lago, and celebrity parties: All the biggest Trump-Epstein revelations from Virginia Giuffre’s posthumous memoir

about 1 hour ago

San Francisco leaders push back against Trump's National Guard threat

Independent

Comments

Similar News

‘Progress’ in U.S. trade talks but still work to be done on deal: LeBlanc

U.S. Vice President JD Vance arrives in Israel

Chess world mourns death of U.S. grandmaster Daniel Naroditsky at age 29

U.S. strikes on alleged drug boats spark clash between Trump and Colombian president

U.S. and Australia sign critical-minerals agreement

Former ambassador talks about the tensions between U.S. and Colombia

Can a U.S.-Australia Deal on Rare Earths Counter China’s Dominance?

Vance Heads to Israel as U.S. Tries to Shore Up Gaza Cease-Fire Deal

U.S. Tries To Shore Up Shaky Gaza Truce After Weekend Of Increased Violence

Trump can deploy National Guard to Portland, U.S. appeals court rules

Canadian snowbirds face fingerprinting at U.S. border. Here's why and how much it'll cost

‘I don’t like you either,’ Trump tells Australian Ambassador to the U.S. once critical of him

U.S. Intelligence Is Being Blinded by Trumpian Politics

U.S. says Hamas is violating ceasefire with its attempts to retain control in Gaza

U.S boat strikes in the Caribbean raise tensions and questions

How China weaponized soybeans to squeeze U.S. farmers — and spite Trump

Australia Could Be a Rare Earths Alternative to China for the U.S.

Dominic LeBlanc is hoping his next comeback includes a U.S. trade deal

Trump announces tariffs and an end to U.S. aid to Colombia amid clash over drug trade

Colombia’s Leader Accuses U.S. of Murder, Prompting Trump to Halt Aid

World news

Edmonton election 2025: See which candidates Global News has declared for city council

Parks Canada releases two reports on Jasper fire confirming cause, development

Andrew Knack to be the next mayor of Edmonton

Nova Scotia Premier Tim Houston shuffles cabinet, drops three ministers

Global News projects first Calgary city councillors elected

Vancouver Park Board adds paid parking at some facilities

Woman dead after shooting in Brampton, Ont., police investigating

Jewels stolen from Louvre worth estimated £76 million, according to French prosecutor as manhunt continues

Fox host wildly claims NYC mayoral candidate Zohran Mamdani wants to ‘eliminate’ city’s entire Jewish population

Which is the safest city in America? NYC suburb ranks in the top 5

‘We have Darth Vader’: Trump introduces Star Wars villain as Republican hero in rambling ‘Rose Garden Club’ lunch

‘Why are you gay?’: Musk appears to cross a line in SpaceX tantrum at Trump Transportation secretary

Cost of Halloween costumes and candy spooking shoppers this year as Trump’s tariffs could spike prices

The ‘Client List’, Mar-A-Lago, and celebrity parties: All the biggest Trump-Epstein revelations from Virginia Giuffre’s posthumous memoir

San Francisco leaders push back against Trump's National Guard threat

Police van set on fire at Citywest migrant hotel protest in Dublin

Leafs paying close attention to Blue Jays’ run

Saskatchewan Health Authority renews surgical partnership, aims to reduce wait times

Waffles sold at Dollarama recalled across Canada due to mold

Suicidal man wanted RCMP to shoot him in Sherwood Park in July, ASIRT says

Unreasonable to cancel election won by single vote, lawyer for Liberal MP says

Ontario’s fall fiscal update set for Nov. 6 as tariff impacts continue

Donald Trump’s meeting with Vladimir Putin in Hungary 'cancelled', White House confirms

Detroit pastor under fire after publicly demanding $2,000 from parishioner who only offered a $1,200 donation

Florida man deliberately accelerated his BMW towards children playing in street after arguing with them: police

Cancelling the Putin-Trump Budapest summit ends the fantasy the US president can deliver peace in Ukraine

Trump’s first-ever Antifa indictment signals DOJ is opening a much bigger case against left-wing groups

Feeling ill? Doctors say you should avoid this common activity

Ex-CIA chief John Brennan referred for criminal prosecution over ‘Russiagate,’ is latest Trump foe in DOJ crosshairs

Trump demands DOJ pay him $230m for cases against him. His ex-lawyers Blanche and Bondi will likely decide claim

British troops sent to Israel to monitor Gaza ceasefire

States across the US warn millions will lose food stamp benefits in a week due to government shutdown

Four key questions about Jeffrey Epstein that Virginia Giuffre’s tell-all memoir fails to answer

Trump told LSU team they were ‘ripping’ up his hand from strong shakes as uses makeup to hide bruises

‘Priceless’ crown jewels snatched from Louvre do have a price: £76,000,000

Japan’s First Female Prime Minister Inherits a Shaky Office

China Announces Military Purge Ahead of Fourth Plenum

A new Supreme Court case could turn the National Guard into Trump&#8217;s personal army

Boris Johnson denies UK failure in planning COVID school closures but apologizes for mistakes

Cameroon arrests at least 20 protesters as tensions escalate after presidential election

'Weaponised' Maccabi-Villa game is already a fraught fixture - and there are still two weeks to go

Stolen Louvre 'crown jewels' were worth £76MILLION as Paris police issue major security update

British troops sent to Israel to help maintain Gaza ceasefire after US request

Woman suddenly dies after botched Turkey liposuction leaves her in coma

Ukrainian city in total blackout after 'massive' Russian assault

Asylum seeker denies being at railway station where Walsall hotel worker was killed

Missed out on Blue Jays World Series tickets? Cheapest resale seats priced at $2K

N.B. government warns of economic headwinds, presents plan to boost growth

Pardoned Capitol rioter arrested after alleged threat to kill Democratic leader

Winnipeg duo facing multiple charges after Westdale drug search

Tip left on a GoFundMe page helps police arrest suspect in 8-year-old murder cold case

The ‘996’ work trend comes with dire health warnings

Waymo now under federal investigation after reports self-driving taxis don’t stop for school buses

‘No plans’ for Trump-Putin meeting ‘in the immediate future’ despite president’s claims of Hungary summit: White House

Funeral worker in Texas dies after being crushed by burial vault

‘Never seen something so extreme’: Palestinian woman nearly clubbed to death by Jewish settler

White House responds to claims that Diddy will be pardoned this week days after George Santos was released

A new Supreme Court case could turn the National Guard into Trump’s personal army