News: Trump EO Invokes Wartime Powers to Expand Critical Mineral Output
Drill Baby Drill
(GFN) President Donald Trump has invoked emergency powers to ramp up domestic production of critical minerals. The move is aimed at reducing U.S. reliance on China, which dominates global supply chains for these materials.
The executive order, issued Thursday, activates the Cold War-era Defense Production Act (DPA). It directs federal agencies to finance, support, and fast-track projects related to processing critical minerals within the U.S. The order treats foreign dependence on these minerals as a national security risk.
“Overbearing federal regulation has eroded our nation’s mineral production,” Trump said in the order. He cited the country’s decline from its former position as a leading minerals producer.
Critical minerals—including lithium, nickel, cobalt, and rare earths—are essential for electronics, defense systems, and electric vehicle batteries. Demand is projected to increase sharply in the years ahead. China remains the dominant global producer or processor of most of these materials.
The order instructs agencies to identify mines that can be rapidly approved and evaluate federal lands, including those under Pentagon control, for potential processing use. It also pushes the Department of the Interior to prioritize mineral production on federal land.
Currently, U.S. domestic output of key minerals is limited. Lithium and nickel production is minimal. The only U.S. cobalt mine closed last year, pressured by Chinese competition. While copper mining exists domestically, there are only two copper smelters in operation. For rare earths—vital for making magnets used in motors and electronics—the U.S. has just one active mine.
In late 2023, China banned exports of gallium, germanium, and antimony to the U.S., causing American manufacturers to scramble for alternate sources.
The executive order also aims to reduce permitting delays and accelerate project timelines. It includes copper and gold among the targeted resources, even though they are not classified as critical minerals by the U.S. Geological Survey.
Industry reaction was swift. Rich Nolan, CEO of the National Mining Association, said: “Ramping up American mining is a national security imperative, and President Trump’s strong action recognizes that.”
This policy action follows years of complaints from U.S. miners about bureaucratic delays in permitting and production.
The DPA, first enacted in 1950, was used by President Harry Truman to scale up steel output during the Korean War. More recently, President Joe Biden also tapped the law to support battery material production, including lithium, nickel, graphite, cobalt, and manganese. His administration allocated $750 million in funding for companies developing these supply chains.
David Copley, a former Newmont executive, has been appointed to oversee the mining portfolio for the U.S. National Energy Dominance Council, according to two sources familiar with the decision. One source said he is now the highest-ranking federal official shaping mining policy.
Trump also announced that the U.S. will soon sign a mineral and natural resources agreement with Ukraine. Separately, last month he ordered an investigation into potential new tariffs on copper imports.
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Interesting that the terms, critical and strategic are used interchangeably platinum falls into the strategic category but not the critical category while both exclude silver in an obscure manner, but industry definitely needs silver, especially the defense sector.
This is great news. I wonder how it will do with job creation and community colleges providing the training for jobs in this field. We should have done this years ago