On Monday, US President Donald Trump signed an executive order to lessen reliance on China for essential minerals used in defense, urging military contractors to distance themselves from supply chains linked to Beijing.
While not mentioning China directly, Trump’s order highlights the importance of maintaining US military strength “in an era of renewed great power competition”.
“The United States must secure its supply chains against physical, cyber, and economic subversion,” it said.
The US Department of Defence is heavily dependent on critical minerals, including rare earths, for parts utilized in its weaponry.
China produces about two-thirds of the world’s rare earth minerals and around 90 percent of their refining, giving it considerable power over the supply chain.
The executive order titled “Securing America’s Defence Supply Chains and Ensuring Domestic Acquisition of Critical Minerals” instructs military contractors to create “formal mitigation” plans that identify non-compliant sources, document thorough efforts to source compliant materials or show that none were available, and outline steps to eliminate non-compliant sources from their supply chains.
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