The US and Australia have signed a deal to boost the supply of rare earths and critical minerals to reduce China’s dominance. The agreement focuses on securing a reliable supply chain for essential materials crucial for advanced technologies in commercial and defense sectors. It aims to create diversified and competitive markets through increased cooperation and investment. Priority projects will receive $1bn in financing within six months.

The framework emphasizes the significance of rare earths and critical minerals in advanced technology production. It seeks to leverage economic policies to ensure a stable supply chain. The agreement includes cooperation to secure supplies for defense technologies and industrial bases. The US and Australia plan to provide financial support and identify priority projects to address supply chain gaps.

A US-Australia Critical Minerals Supply Security Response Group will be established to identify priority minerals and vulnerabilities in supply chains. Led by the US Secretary of Energy and the Australian Minister for Resources, the group will enhance supply chain resilience. The agreement does not create legally binding obligations but sets a framework for cooperation, allowing participants to discontinue involvement with written notice.

Read more at Yahoo Finance: US and Australia sign rare earths and critical minerals agreement