In response to China’s newly imposed restrictions on rare mineral exports, which have caused global market uncertainty, the United States has signed an $8.5 billion deal with Australia to secure critical mineral resources.
The agreement was formally signed on Monday at the White House by U.S. President Donald Trump and Australian Prime Minister Anthony Albanese, who described the pact as “a new chapter in bilateral relations.”
President Trump stated,
“After months of negotiations, we have reached an agreement that will ensure the United States has sufficient rare earth supply within the next year.”
Prime Minister Albanese added,
“This deal will not only strengthen economic ties but also enhance the strategic partnership between our two countries.”
Reports indicate that China currently controls 70 percent of global rare mineral mining and 90 percent of processing. Last week, Beijing’s Ministry of Commerce issued “Announcement No. 62 of 2025”, introducing strict new export restrictions on these essential minerals.
Experts warn that the new policy will further consolidate China’s influence in the global market. For the United States, finding alternative sources for minerals used in defense equipment, computer chips, electric vehicles, and renewable energy technologies has become an urgent strategic priority.
Source: Associated Press (AP)