President Donald Trump is set to launch a strategic critical-minerals stockpile with $12 billion in seed money, a bid to insulate manufacturers from supply shocks as the U.S. works to slash its reliance on Chinese rare earths and other metals.
The venture—dubbed Project Vault—is set to marry $1.67 billion in private capital with a $10 billion loan from the U.S. Export-Import Bank to procure and store the minerals for automakers, tech firms and other manufacturers.
U.S. rare-earths stocks jumped in premarket trading upon news of the administration’s plan, including U.S.A Rare Earth Inc., Critical Metals Corp., United States Antimony Corp. and NioCorp Developments Ltd.
Details of the initiative, which would represent a first-of-its-kind stockpile for the U.S. private sector, were described by senior administration officials, who asked not to be identified discussing a plan that has yet to be announced.
The effort is akin to the nation’s existing emergency oil stockpile. But instead of crude, its focus would be minerals—such as gallium and cobalt—used in products such as iPhones, batteries and jet engines. The stockpile is expected to include both rare earths and critical minerals as well as other strategically important elements that are subject to volatile prices.
Why It Matters
- China currently controls the majority of global rare‑earth processing.
- These minerals are essential for:
- Electric vehicles
- Batteries
- Defense systems
- Power grids
- Semiconductors
- AI and advanced manufacturing