US and Australia sign major rare earths deal to counter China
Summary
The US and Australia have signed a significant agreement to boost rare earth and critical mineral supplies, aiming to reduce reliance on China by investing $1 billion in related projects.
Key Points
- The US and Australia formalized a deal to enhance rare earth and critical mineral supplies to reduce dependence on China.
- The agreement supports an $8.5 billion pipeline of Australian mining and processing projects and includes a $1 billion joint investment over six months.
- Australian rare earth producers' shares rose immediately after the announcement, reflecting market optimism.
- The deal includes collaboration on pricing, permitting, and government reviews, alongside US plans for a gallium refinery in Western Australia and financing support from the Export-Import Bank.
