US Unveils Strategic Minerals Stockpile Amid Push for Domestic Production.
The Biden administration has set aside a $2 billion private sector investment in a strategic minerals stockpile called Project Vault. The project is being backed by a $10 billion loan from the US Export-Import Bank, with the goal of developing rare-earth mineral resources needed for key industries such as semiconductors, smartphones, and electric vehicles.
The move aims to reduce reliance on countries like China, which supplies nearly 60% of global rare earth minerals. Critics argue that this initiative may be a step towards socialism, while supporters see it as necessary to maintain domestic control over critical mineral production and mitigate potential supply chain disruptions.
In recent months, the US government has made several investments in rare-earth minerals projects through joint ventures with private companies. For instance, a 10% stake in Korea Zinc was acquired to help fund a $7.4 billion zinc smelter project in Tennessee. Additionally, the government invested $35.6 million in Canadian-based Trilogy Metals and announced a 5% stake in Lithium Americas as part of a joint venture with General Motors.
The US is facing pressure from China over trade disputes, including the cancellation of trade talks by President Trump last year. As a result, some lawmakers have been urging the Biden administration to take action to secure domestic supply chains for critical minerals.
The Biden administration has set aside a $2 billion private sector investment in a strategic minerals stockpile called Project Vault. The project is being backed by a $10 billion loan from the US Export-Import Bank, with the goal of developing rare-earth mineral resources needed for key industries such as semiconductors, smartphones, and electric vehicles.
The move aims to reduce reliance on countries like China, which supplies nearly 60% of global rare earth minerals. Critics argue that this initiative may be a step towards socialism, while supporters see it as necessary to maintain domestic control over critical mineral production and mitigate potential supply chain disruptions.
In recent months, the US government has made several investments in rare-earth minerals projects through joint ventures with private companies. For instance, a 10% stake in Korea Zinc was acquired to help fund a $7.4 billion zinc smelter project in Tennessee. Additionally, the government invested $35.6 million in Canadian-based Trilogy Metals and announced a 5% stake in Lithium Americas as part of a joint venture with General Motors.
The US is facing pressure from China over trade disputes, including the cancellation of trade talks by President Trump last year. As a result, some lawmakers have been urging the Biden administration to take action to secure domestic supply chains for critical minerals.
it's like they're finally acknowledging that we can't rely on China for all our tech needs anymore. I mean, who wouldn't want to diversify their mineral game? 
the $10 billion loan is a big deal and I'm curious to see how this will actually work out in practice. It's like they're trying to level up their own economy instead of playing catch-up with China 
just thinkin' about it, us bein' too reliant on china 4 rare earth minerals is a big problem 
we need to get ahead of the game and invest in our own resources 
like project vault sounds like a good start 
newsflash: when you have a monopoly on something, it comes with the territory 
. On one hand, you got this $2 billion investment that's basically just handing over cash to private companies. I mean, who doesn't love free money? 
- just enough government backing to keep the wheels greased, but still plenty of room for profit.
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. It's time to take control of our own destiny, right? 
. I'd love to see more transparency on how these funds will be allocated, but overall, it's a bold move 
. Maybe we can even start to reduce our carbon footprint at the same time if we become more self-sufficient with our mineral production 
i'm so stoked about this!!! the us is finally doing something about our reliance on china for rare earth minerals!! 
i mean, sure some people are saying it's like socialism or whatever, but like, isn't that just good ol' american ingenuity? 
and can you believe they're investing like $10 billion in this project?! 
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But seriously, investing in domestic production makes total sense. We need our own resources to be independent, especially with everything going electric and all that tech stuff becoming super important.
theyre trying to control everythin just like china but now its americas turn lol who needs all that money and resources anyway? can we just let the free market handle it and see what happens? this $2 billion investment sounds like just a waste of tax payer money to me 
. So yeah, having a backup plan makes sense. Plus, it's not like they're just hoarding minerals for the sake of it - there are actually people who need these resources to make stuff that affects our daily lives.