What is the US doing to reduce its reliance on China for rare-earth minerals?

The US Treasury Secretary recently announced the first US-made rare-earth magnet in 25 years, a sign of the country's efforts to break China's "chokehold" on this critical supply chain.

What are some of the key uses of rare-earth minerals that the US is concerned about?

Rare-earth elements like dysprosium and samarium are crucial for electric vehicles, wind turbines, and defense applications such as guidance systems and fighter jets.

Home / Business and Economy / US Races to Break China's Rare-Earth Dominance

US Races to Break China's Rare-Earth Dominance

Q: How much of the global rare-earth mining and processing does China control?

China controls around 70% of global rare-earth mining and over 90% of global processing capacity, giving it a significant advantage over the US.

16 Nov

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Summary

US Treasury Secretary proclaims first US-made rare-earth magnet in 25 years
US efforts to reduce dependence on Chinese rare-earth production could take years
China controls 70% of global rare-earth mining and over 90% of global processing

US Races to Break China's Rare-Earth Dominance

As of November 16, 2025, the White House has made it a top priority to return the rare-earth industry to US shores. Last week, US Treasury Secretary Scott Bessent returned from South Carolina brandishing a small piece of metal, proclaiming it was the first rare-earth magnet made in the US in a quarter of a century. Bessent touted this as proof that the US is ending "China's chokehold on our supply chain" and that the country is "finally becoming independent again" thanks to a new rare-earth mineral processing center in South Carolina.

Breaking China's dominance in rare-earth processing and manufacturing, which are essential for semiconductors, batteries, and armaments, is a key goal for the Trump administration. However, experts warn that the US's efforts to reduce its dependence on Chinese rare-earth production could take years to bear fruit. China currently controls around 70% of global rare-earth mining and over 90% of global processing capacity, giving it a significant head start that will be difficult for the US to erode.