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China Has the US over a Barrel in the Rare Earths Market — Trump Is Fighting Back

UNITED STATES, JUL 17 – The U.S. Defense Department secured a multibillion-dollar deal to boost domestic rare-earth production amid China controlling over 90% of global magnet output.

  • In recent months, the Trump administration has turbocharged efforts to forge a domestic rare earth supply chain, supporting wind turbines and F-35 fighter jets.
  • Over decades, Beijing developed dominance in rare-earth processing, commanding around 85% after a long push, and monitoring overseas experts by confiscating passports.
  • Recently, the Defense Department sealed a multibillion-dollar deal to become MP Materials’ largest shareholder, with U.S. lawmakers introducing legislation to boost domestic rare-earth production.
  • Palmer said critical mineral dependence is an undeniable national security risk, while the U.S. rare-earth industry remains undeveloped, leaving Washington vulnerable in future trade conflicts.
  • Broadly, the shift toward domestic supply sets a new standard for resource security, as governments prioritize energy and grid investments for national security and encourage sustainable manufacturing in the tech industry.
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quatrostrategies.ca broke the news in on Thursday, July 17, 2025.
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