The US government has shifted its approach from imposing tariffs to advocating for the creation of an international trade bloc focused on critical minerals. Representatives from 55 countries met in Washington to discuss strategies for decreasing dependence on China, which currently leads in the production and processing of these essential materials.
In related developments, Japan is advancing efforts to diversify its mineral sources by planning to extract rare earth elements from deep-sea mud, aiming to establish a new domestic supply chain.
**Why this matters**
Critical minerals are vital for manufacturing technologies such as electronics, renewable energy systems, and defense equipment. Reducing reliance on a single dominant supplier helps enhance supply chain security and supports economic and national security interests for participating countries.
Source: NewsData