Trump Administration Acts to Reduce Dependence on China for Critical Minerals

Today, the Trump Administration released a government-wide action plan to reduce U.S. dependence on critical minerals from foreign sources like China.
                                                                                                   

                  For Immediate Release
          Contact: Jeff Small

Date: June 4, 2019
             jeff.small@mail.house.gov

Trump Administration Acts to Reduce Dependence on China for Critical Minerals

                                                                                                       



WASHINGTON, D.C. Today, Members of the Western Caucus released statements applauding release of the Trump Administration’s government-wide action plan to reduce U.S. dependence on critical minerals from foreign sources like China:

Congressional Western Caucus Chairman Paul Gosar (AZ-04): "A non-classified defense study found that failure to have a reliable supply chain for at least 16 of the 35 critical minerals has already caused significant weapon system production delays at the Department of Defense. A 2018 report published by the Department of the Interior found the U.S. was 100 percent net import reliant on foreign countries, including China, for 20 different critical minerals. This irrational overreliance threatens our national security by imperiling our ability to make equipment and weapons integral to mission success. No other developed country hamstrings themselves the way we do with domestic mining permitting and project delays - let alone a military superpower. I applaud President Trump, Secretary Ross, Secretary Bernhardt and others in the administration for taking action to reduce our dependence on China for critical minerals, for recognizing the U.S. has the highest mining and environmental standards in the world and for implementing a government-wide action plan critical minerals are mined safely right here in America."

Senator Western Caucus Chairman Senator Steve Daines (MT):  "President Trump’s action on critical minerals is good news for Montana jobs and our national security. The U.S. has one of the longest permitting processes in the world, so it’s no wonder we depend on countries like China and Russia for minerals that are used in everything from iPhones and medical supplies to solar panels and military equipment. It is common sense to streamline the process while protecting our environment and public input."

Executive Vice-Chairman Scott Tipton (CO-03): "For decades, China has taken advantage of the U.S. Cutting off U.S. access to critical rare earth minerals  would greatly impact American businesses and threaten our national security. The administration is right to seek ways to reduce dependency on China, and I look forward to advancing policies that better support responsible domestic mining to ensure Americans are not unduly impacted by any potential long-term trade negotiations."

House Committee on Natural Resources Republican Leader Rob Bishop (UT-01):
"Our over-reliance on foreign nations for critical minerals has reached a fever pitch. The directives in this new report are absolute no-brainers. There is zero wisdom in relying so heavily on the goodwill of our would-be adversaries. The status quo has put our national security and economy at peril’s doorstep. The Trump administration’s new strategy not only puts us back on a path to self-reliance, but it cuts down bureaucracy, and creates American jobs."

Chief Agriculture and Business Officer Rep. Doug LaMalfa (CA-01): "America’s reliance on importing critical minerals from potential adversaries is troubling. The supply of these materials is critical to our defense and national security, and there’s no reason why we shouldn’t be able to produce it right here in our own backyard. I applaud the Trump Administration for bringing America one step closer to true energy independence."

Chief Regulatory Reform Officer Andy Biggs (AZ-05): "President Trump continues to focus on protecting America’s national security by making domestic critical mineral procurement a priority. The United States relies on critical minerals for vital weapons systems and materials that make up the gear that protects our troops. President Trump’s executive order streamlines the regulatory process for these projects and increases our capabilities to produce more domestic-sourced minerals. This decreases our import reliance from China, supports American jobs, and enhances our national security."

Chief Defense and Interior Officer Chris Stewart (UT-02): "The United States should not force itself to rely on foreign sources of critical minerals, particularly from adversarial nations. Unfortunately, our country’s onerous regulations and policies have discouraged domestic production— putting our long term national security at risk if supplies are suddenly cut. It is imperative that we produce these critical resources at home. President Trump’s actions today will pay dividends for years to come."

Chief Rules Officer Rep. Dan Newhouse (WA-04): "We should be doing everything in our power to decrease our dependency on countries like China. The United States has the safest, most regulated mining industry in the world, and we are perfectly capable of providing the critical minerals the Department of Defense and other industries rely on. I applaud the Administration’s action to increase our independence from foreign mineral and rare earth markets and safeguard our national security efforts."

House Interior, Environment, and Related Agencies Subcommittee Ranking Member Dave Joyce (OH-14): "Believe it or not, China currently controls the majority of the minerals needed to build items that Americans use every day, like cell phones and computers, not to mention many of our military’s major weapons systems. We’ve seen first-hand how China is more than willing to use its trade dominance against us, leveraging not only these materials, but also threatening jobs and endangering our national security. This cannot continue. I applaud the Administration’s efforts to increase our domestic production of these critical resources, which will not only challenge China’s indisputable control over their trade but also protect American jobs."

Senate Environment and Public Works Committee Chairman John Barrasso (WY):  "I commend the administration for taking this vital step to promote and protect our nation’s critical mineral resources. Wyoming has significant quantities of six of the 35 listed critical minerals. This includes uranium and rare earth elements. As China ramps up the rhetoric on trade and threatens to strangle the global supply of rare earth minerals, it is more important than ever to prioritize American mineral resources."

Senate Energy and Natural Resources Committee Chairwoman Lisa Murkowski (AK): "I welcome this report, which provides clear direction on how to reduce our reliance on foreign minerals and thereby strengthen our economy and national security. I urge the administration to swiftly implement its recommendations, especially those that encourage domestic mineral production and continued research into processing technologies, and will continue my work to complement these efforts with new legislative authorities."

Senator Cory Gardner (CO): "Critical minerals are vitally important to our national security and our economic security. Whether for use by the Department of Defense, developing advanced energy technology, or the technology we carry in our pockets, they play a role in Americans’ lives every day. Being entirely import reliant on many of these minerals can subject the country to serious economic hardship. As Beijing’s recent rhetoric suggests, we should not take these supplies for granted. This strategy report is a good first step to start the process of developing mineral assets of our own, and can lay the foundation for an American manufacturing resurgence and economic security."

Senator Kevin Cramer (ND): "Depending on geopolitical adversaries like China and Russia for minerals makes our nation unnecessarily vulnerable. Today’s action by President Trump’s administration bolsters national security and incentivizes responsible mineral development here at home."

Senator John Hoeven (ND): "Developing our domestic supplies of rare earth minerals is an essential part of securing our country, both in economic terms and for our national defense. We welcome the administration’s continued efforts, including regulatory relief and other measures, to enable the identification and development of these critical resources here at home. We will continue working toward this same goal, bolstering the work of organizations like the EERC at the University of North Dakota as they pursue new innovations to expand our supplies of rare earth minerals."

Senator Jim Risch (ID): "Many people are unaware of the outsized role that rare earth minerals play in their daily lives. These minerals, which we rely on for defense and commerce, are often sourced by China and other foreign nations even though we have the capability to mine these minerals ourselves. Therefore, I applaud the administration on its efforts to reduce our dependence on internationally-sourced minerals. With a new and dedicated strategy, we will be able to mine these critical minerals on U.S. soil, provide scores of good-paying jobs, and advance American autonomy."

Rep. Kevin Hern (OK-01): "America has grown more and more dependent on foreign countries for critical resources like rare earth minerals. Our dependence on China for these minerals is unacceptable and unsustainable. President Trump, like he has since day one, is putting the safety and success of the American people first. He is working to solve our energy dependence on foreign powers to make America not only energy-independent, but energy-dominant."

Rep. Kelly Armstrong (N.D. At-Large): "As I said in a recent committee hearing, rare earth minerals are a critical aspect of energy security and independence, which directly affects national security. With China effectively controlling 90 percent of the world market, our economic and national security relies on their rare earth mineral exports. I applaud President Trump for focusing on this important issue."

Rep. Chip Roy (TX-21): "I am grateful the Trump Administration is taking steps to reduce our reliance on foreign nations, like China, for critical minerals, which allow Texas and the United States to lead the world in Energy and Defense technology. Securing a reliable domestic supply is of key importance to future economic and national security interests of the United States."

Rep. Pete Stauber (MN-08): "Reliance on foreign rivals for our own national security is dangerous. I therefore applaud the Trump Administration for doing the right thing and acting to ensure the Defense Department uses the natural resources available within our borders to keep our troops safe and borders secure. I look forward to northeastern Minnesotans mining the copper, nickel, and other precious metals available in the Duluth ore body to satisfy this need, and not foreign workers facing inhumane conditions and dire, if any, environmental standards."

Rep. Paul Cook (CA-08): "This strategy report is an essential step to move us away from our growing dependency on China for critical minerals. Our country has the natural resources and the knowledge to create our own materials, but we need to invest in production capacity while ensuring a safe regulatory environment that can’t be destroyed by Chinese manipulation of the minerals market.  This is truly a matter of national security and we must act now."

Rep. Morgan Griffith (VA-09): "I applaud the Trump Administration’s steps to secure our supply of critical minerals. China’s recent thinly-veiled threats to cut off our imports of rare earth elements highlight the supply’s vulnerability. The administration’s action is imperative for our national and economic security.

Rep. Doug Lamborn (CO-05): "We cannot continue to rely on China for critical and strategic minerals used in everything from cellphones, to missiles to satellites. It is vital that we utilize our own resources and streamline the permitting of new mines in order to increase our domestic production. I am pleased that President Trump realizes the grave national security implications of being over-reliant on China and is taking steps to address this problem."

Rep. Markwayne Mullin (OK-02): "The United States should do everything we can do reduce our dependence on bad acting foreign countries, like China. Critical minerals are essential to our economy and national security. Our country has abundant mineral resources, but the permitting system for mining is ineffective. I applaud President Trump and his administration for taking this step to make use of the resources we have here at home instead of relying on China to provide them."

Rep. Duncan Hunter (CA-50): "Minerals and metals are a fundamental part of our energy infrastructure, our national security and lead to greater American economic competitiveness. With China threatening to cut off or limit our rare and critical earth supply, it is imperative that the U.S. take every opportunity available to make sure we have a steady supply of the metals we need and that are our own natural resources."

Rep. Alex Mooney (WV-02): "President Donald Trump is fulfilling his commitment to reduce our dependence on foreign sources of critical and rare earth minerals. The extraction of rare earth metals as a by-product of coal mining is an exciting economic development opportunity for West Virginia. I look forward to continuing to work with President Trump to ensure we have a domestic supply of critical minerals."

Background:

On December 17th, 2017 President Trump issued Executive Order (EO) 13817, calling on federal agencies to curtail our Nation’s dependence on foreign sources of critical minerals.

In May of 2018, the Department of the Interior (DOI) took the first step in implementing the EO, publishing a final list of 35 critical minerals that are vital to our economy and national security.

Today, the Trump Administration released a government-wide action plan to implement the next phase of the E.O. through an interagency report entitled, “A Federal Strategy to Ensure a Reliable Supply of Critical Minerals.” This detailed strategy calls on federal agencies to implement important recommendations that will strengthen America’s critical mineral supply chains and defense industrial base, ensure faster permitting times and study the feasibility of allowing mineral projects to be included as part of FAST-41, improve surface and subsurface mapping in order to help identify new critical mineral deposits, improve access to domestic critical mineral resources on federal lands and grow the American critical minerals workforce.   

An essential component of America's national defense engine and competitive advantage over other nations is mineral production. As one of our nation’s largest consumers of metals and minerals, the U.S. Department of Defense uses as much as 750,000 ton of minerals each year.

Chinese officials recently threatened to cut off our rare earth mineral supply. This is concerning as China controls nearly 80% of the world’s rare earths. Rare earths are chemical elements that can be mined and found in the Earth’s crust. Rare earths are used in numerous modern technologies including missile guidance and control systems, lasers for enemy mine detection, satellite communications, radar, sonar on submarines, iPhones, electric vehicles, wind turbines, solar panels, computers and networks. Rare earths are included on the Trump Administration’s list of 35 critical minerals.   

DOI and the U.S. Geological Survey published a 2018 mineral commodities summary report that found the U.S. is 100 percent net import reliant on foreign countries, including China, for 20 different critical minerals. According to the Department of Commerce, “the U.S. is dependent on imports for more than 50 percent of domestic demand for 29 of the 35 minerals named in  [DOI's critical minerals] report. In addition, the United States lacks any domestic production for 14 of the 35 minerals and does not have domestic access to processing and manufacturing capabilities for many of these minerals.”

Our present reliance on foreign nations – particularly those of questionable stability and demonstrated hostile intentions towards the United States – for critical minerals constitutes a serious national security risk which increases by orders of magnitude the more import-reliant our country becomes.

Few countries can rival our abundance of mineral resources but even fewer have a permitting system as inefficient and duplicative as the U.S. While we need to open new rare earth and mineral processing facilities in the U.S., we also need to improve the process for domestic mining. The average permitting timeline for a mining operation in the U.S. is 7-10 years. Other countries are getting through the same process in 2-3 years.

Rep. Mark Amodei (NV-02) has introduced the National Strategic and Critical Minerals Production Act. This legislation that will create hundreds of thousands of jobs and reduce U.S. dependence on foreign minerals from countries like China by facilitating a timely permitting process for mineral exploration and mine development projects without compromising existing environmental standards.

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