A bipartisan group of U.S. lawmakers introduced legislation on Thursday to establish a $2.5 billion critical minerals stockpile aimed at countering China’s dominance in the sector. The bill is a response to China’s control over approximately 60% of the world’s mined rare earths and significant shares of lithium, graphite, and cobalt production.
The proposed “Strategic Resilience Reserve” will be overseen by a seven-member board, similar to the Federal Reserve, with authority to buy and store critical minerals across the U.S. The initiative seeks to stabilize prices and mitigate supply disruptions that heavily affect the U.S. industry, which is currently vulnerable to Chinese production policies. Key sponsors of the bill include Senator Jeanne Shaheen and Senator Todd Young.
If approved by both the House and Senate and signed into law, the bill will also allow allied nations to contribute at least $100 million to the reserve, creating a potential Western price benchmark for critical minerals.
