Pentagon looking to buy $1.3 billion in critical minerals, FT reports
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The increased critical minerals purchases by the Pentagon in the US come as China unveiled new export controls on rare earths and other key materials.
PHOTO: TIERNEY CROSS/NYTIMES
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WASHINGTON – The Pentagon in the US is looking to buy as much as US$1 billion (S$1.3 billion) of critical minerals to stockpile, the Financial Times reported, citing public filings published in recent months by the Pentagon’s Defence Logistics Agency (DLA).
The increased purchases come as new export controls of rare earths
Reacting to the announcement, US President Donal Trump said on Oct 10 he would hit China with an additional 100 per cent tariff
China accounts for almost 70 per cent of the world’s production of rare earths, according to the US Geological Survey. China’s grip on these niche commodities has long been viewed as a potential geopolitical weapon.
Planned purchases by the DLA include as much as US$500 million of cobalt, up to US$245 million of antimony and as much as US$100 million of tantalum, the paper said.
The DLA stockpiles alloys, rare earths, ores and precious metals, and stores them in depots across the country. Its assets were valued at US$1.3 billion as of 2023, the paper said. BLOOMBERG
