Adjusting Imports of Processed Critical Minerals and Their Derivative Products into the United States

Key Points

• President Trump has issued a proclamation to change how the United States gets "critical minerals." These are materials like lithium, cobalt, and rare earths used in everything from smartphones and electric cars to fighter jets and power grids. The goal is to make sure the country is not too dependent on other nations for these vital supplies.
• The Commerce Department found that the U.S. is currently 100% dependent on imports for 12 different minerals and at least 50% dependent for 29 others. Even when these minerals are mined in America, they are often sent overseas to be processed. This policy aims to bring that processing work back to the U.S. to create a more secure supply chain.
• Officials are worried that relying on foreign countries for these materials makes the U.S. vulnerable. If a foreign country cuts off the supply or if prices swing wildly, it could hurt the military's ability to build weapons or make it harder for American companies to produce everyday electronics and energy equipment.
• The government will now start negotiating with other countries to set new trade terms. If these talks do not show enough progress within 180 days, the President may take further steps, such as adding taxes on imports or setting minimum prices to help support American mining and processing companies.