In the past few years people have heard the term “rare earth minerals” or “critical minerals” as they relate to the manufacture of component goods that are vitally important in the lives of everyone. However, the term “rare” is somewhat of a misnomer. The minerals themselves are not rare; indeed, they have been around for hundreds of millions of years in abundant supply. It is the processing of those minerals into stable second stage commodities that has become rare.
As a result of western environmental rules and regulations, U.S, EU and developed nations have outsourced critical mineral processing (the dirty stuff) to China and Asia. We then import the finished commodity after processing. This becomes a problem when you realize the processor can weaponize western dependency, as we have recently seen with China controlling the export of processed minerals needed for manufacturing.
President Trump has made a strategic decision to bring back the manufacturing of critical minerals to the United States and has made a policy decision to create a critical mineral reserve. Just last Monday President Trump announced a $12 billion strategic mineral reserve to combat China’s domination of critical mineral supply chains, a major step toward tackling China’s advantage in a crucial sector of the U.S. economy. The initiative is called “Project Vault.”
“For years, American businesses have risked running out of critical minerals during market disruptions,” President Trump said. “Just as we have long had a strategic petroleum reserve and a stockpile of critical minerals for national defense, we are now creating this reserve for American industry,” Trump said during the Oval Office announcement.
Today in Washington DC, Vice-President JD Vance and Secretary of State Marco Rubio led a critical minerals discussion at the State Dept., where they are organizing an effort to get all nations to invest and create their own critical minerals strategic reserves. WATCH: