In a move to reduce U.S. reliance on China for critical minerals, President Donald Trump plans to invoke emergency powers under the Defense Production Act (DPA) to support domestic production and processing of these essential materials, Reuters reported Wednesday.
The DPA allows the president to direct economic resources toward national defense needs. It will now be used to fast-track efforts to secure the supply of minerals vital to the energy and defense sectors. These minerals are used in products such as smartphones, electric vehicles, batteries, and military equipment like the F-35 fighter jet.
The White House intends to waive some legal hurdles, including congressional approval, to accelerate investment in the U.S. critical minerals sector.
Trump already invoked emergency powers in March to ramp up mineral production, arguing that the country must reduce its reliance on what he called “hostile foreign powers.”
In the executive order, Trump stated, “The United States possesses vast mineral resources that can create jobs, fuel prosperity, and significantly reduce our reliance on foreign nations.” He also blamed strict federal regulations for undermining past U.S. dominance in mineral production.
The administration has made securing critical mineral supplies a top priority and is working to establish mineral agreements with international partners. However, the bigger challenge lies not in raw materials but in refining. The U.S. lacks enough facilities to process these minerals into high-grade materials needed for electronics and defense systems.
China currently dominates both the global supply of rare earth elements and the processing chain, giving it tight control over a key segment of the clean energy and tech industries. By expanding domestic capabilities, the U.S. hopes to loosen China’s grip on this vital supply chain.
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