Rare-earth minerals are gaining increased attention as the United States steps up efforts to reduce its dependence on China’s dominance in the market for these critical resources, which are essential for technologies like electric vehicles, semiconductors, and defense systems. China currently controls a major share of global production and reserves of rare earths, prompting U.S.-listed companies in the supply chain, such as MP Materials and USA Rare Earth, to see their shares rise amid expectations of increased investment and government support. Meanwhile, China has tightened export controls, requiring foreign firms to obtain government approval for products containing Chinese-origin rare earths, further spurring U.S. and allied nations to accelerate domestic and allied-based sourcing and refining capacity. The article highlights how this shift reflects broader strategic concerns about supply chain security and technological sovereignty.
https://www.cnbc.com/2025/10/20/rare-earths-gain-amid-us-effort-to-beat-chinas-dominance.html
I was not aware of how heavily the U.S. relies on China for rare-earth minerals. This certainly will affect our country's technological stability and progress.
ReplyDeleteA lot of this has to do with what the Trump administration decided to do with the tariffs on Chinese goods. It will be interesting to see what Trump decided to do if we aren't getting enough from rare earth materials and if we need to go back to using China as a big source. Will also be interesting to see what happens with China as the U.S. is someone that buys a lot of these goods and the negative affects it has on them as well.
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