US forms Critical Minerals Bloc

The United States, under the Donald Trump administration, announced a plan to create a critical minerals trading bloc with its allies and partners. This initiative aims to counter China's dominance in the critical minerals market, which has been highlighted by recent trade tensions. The bloc will use tariffs to maintain minimum prices and ensure stable supply chains, reducing reliance on China's market tactics. Concurrently, the United States launched Project Vault, a strategic stockpile of rare earth elements, backed by a $10 billion loan from the United States — Export–Import Bank of the United States and private capital. The government has also made direct investments in American critical minerals producers, such as USA Rare Earth, and the Pentagon has allocated significant funds to spur mining. Major allies like Japan, the European Union, and Mexico have expressed support and are working on coordinated trade policies. This move is seen as a significant step towards securing essential resources for high-tech products and defense industries.