(Bloomberg) — The Pentagon plans to buy up to $1 billion in critical minerals to form a strategic stockpile, the Financial Times reported, citing public documents released in recent months by the Defense Logistics Agency (DLA).
The increase in purchases comes after China’s Ministry of Commerce announced last week new export controls on rare earths and other materials critical to the defense and technology sectors.
In reaction to the announcement, President Donald Trump stated on Friday (10) that he will impose an additional 100% tariff on Chinese products from November 1st. He also announced plans to establish export controls on software considered critical.
FREE TOOL
XP simulator
Find out in 1 minute how much your money can yield
China accounts for almost 70% of global rare earth production, according to the United States Geological Survey (USGS). Chinese dominance over these strategic materials has long been seen as a potential geopolitical weapon.
According to the newspaper, DLA’s planned purchases include up to $500 million in cobalt, up to $245 million in antimony and up to $100 million in tantalum.
DLA maintains stocks of metal alloys, rare earths, ores and precious metals, stored in warehouses throughout the United States. Its assets were valued at $1.3 billion in 2023, according to the Financial Times.
© 2025 Bloomberg L.P.
