US bill would block defence contractors from using Chinese rare earths
- If passed, the bipartisan legislation would use the Pentagon to create a permanent stockpile in a bid to loosen Beijing’s grip on the strategic minerals
- While the United States created the industry in World War II, China has slowly grown to control the entire sector the past 30 years
A bipartisan piece of legislation introduced in the US Senate on Friday would force defence contractors to stop buying rare earths from China by 2026 and use the Pentagon to create a permanent stockpile of the strategic minerals.
The bill, sponsored by Senators Tom Cotton, an Arkansas Republican, and Mark Kelly, an Arizona Democrat, is the latest in a string of US legislation seeking to thwart China’s near control over the sector.
It essentially uses the Pentagon’s purchase of billions of dollars worth of fighter planes, missiles and other weapons as leverage to require contractors to stop relying on China and, by extension, support the revival of US rare earths production.
Rare earths are a group of 17 metals that, after processing, are used to make magnets found in electric vehicles, weaponry and electronics.
While the United States created the industry in World War II and US military scientists developed the most widely-used type of rare earth magnet, China has slowly grown to control the entire sector the past 30 years.
