Under President Trump, the US government has given global suppliers of critical minerals a 180-day ultimatum to secure binding agreements for diversified supplies, reducing reliance on China. Failure to comply could lead to tariffs and trade barriers. The policy seeks to enhance national security by challenging China's dominance in the sector.
US President Trump has established a 180-day deadline for negotiators to secure binding or enforceable agreements by July 13, 2026, ensuring reliable and diversified supplies of critical minerals for the United States. The policy targets China's control over rare earths and other vital resources, warning global suppliers including the European Union, Malaysia, India, Canada, Indonesia, and Australia to negotiate deals or face new trade hurdles.
Directed by the Commerce Department and the US Trade Representative's office, the measures encompass boosting processing capacity among allies, securing offtake agreements for US access, investing in non-Chinese facilities, and employing trade-stabilizing tools like price floors to mitigate price swings and volatility. Officials such as US Trade Representative Jamieson Greer and Howard Lutnick stress that the initiative aligns with an "America first" approach to safeguard national security.
Should no agreements be reached by the deadline, the president is empowered to impose "remedial" actions without further review, including high tariffs, quotas, or mandatory "minimum import prices." This development underscores ongoing global efforts to diminish China's mineral dominance, though it risks heightening international trade tensions.
