The US and Australian governments will invest $3 billion in rare earth mineral projects, according to a White House statement.
„The investments will be made over the next six months, with the value of the recoverable resources from these projects estimated at $53 billion, according to a document released after a meeting between US President Donald Trump and Australian Prime Minister Anthony Albanese.
The two countries are signing such a contract at a time when the global race for control of critical minerals is intensifying.
The agreement is part of the „Critical Minerals Partnership“ initiative, through which the two countries seek to build a stable and predictable supply chain for elements used in batteries, electric motors, computer chips and defense technologies.
“This is not just an economic deal, but a strategic decision that will determine the future of high-value-added industries“, Albanese said, emphasizing that Australia has some of the richest deposits of rare earth elements in the world.
On the American side, President Trump described the agreement as a “key step towards energy and industrial independence“, adding that the United States “will not allow the critical technologies of the future to depend on foreign powers“.
Despite the optimism surrounding the signing, analysts warn that the actual implementation of the agreement will take much more than six months. The processing of rare earth metals is a complex, expensive and environmentally sensitive process. Moreover, China still holds key technologies and patents in the sector.
“This is a step in the right direction, but it is not a quick win,“ said an expert from the Australian Institute for Strategic Studies. “The US and Australia need to not only mine, but build an entire processing and manufacturing industry.“