A secure and resilient supply of critical minerals is paramount to our national security and is an economic necessity. Unfortunately, the United States is almost entirely dependent on foreign nations for our supply — an alarming fact considering most of the technology our government uses today requires these minerals.
Every day, the Department of Homeland Security works to secure our border, counter terrorist threats, harden our cybersecurity defenses, and protect us from emerging threats such as weaponized drones and biological weapons. This is a sweeping and, at times, difficult mandate to fulfill.
Fortunately for the public, the department has some of the best people in the world executing its critical mission. But our enemies are getting savvier and more sophisticated. For DHS officials to be successful, they need to have access to cutting-edge equipment and technology. Technologies like high-speed communications, surveillance systems, radar satellites, and secure computer networks allow DHS agents and officers to mitigate, prepare for, and respond to any threat facing the country.
But these technologies aren’t possible without minerals like cobalt, lithium, and rare earth elements, which include 17 minable metallic elements. These are not just crucial for technology at DHS but are necessary inputs in critical and emerging technologies in both the defense and civilian spaces, from fighter jets to electric vehicles to semiconductors. Critical minerals play an integral part in our ability to innovate and produce the tools necessary to keep America free, secure, and prosperous in the 21st century.
While the U.S. was once the leader in critical mineral production, China now dominates the market. Beijing controls around 90% of the world’s REEs and has been the source of 80% of U.S. imports of REE compounds and metals in recent years. It processes 50%-70% of the world’s lithium and cobalt. China understands the importance of critical minerals and REEs in future technology, so it has made strategic decisions to corner and control the market.
We’ve witnessed firsthand what can occur when despots and dictators control critical resources. President Vladimir Putin has weaponized Russia’s oil and natural gas supply, constricting or cutting off energy to European countries that oppose its unprovoked and unjustified attack on Ukraine. Some European Union member states are still importing Russian energy out of sheer necessity. They’ve been cornered into funding Putin’s war machine, and this dependence limits their geopolitical options.
China has taken similar actions in other key industries. During the COVID-19 outbreak, China restricted exports of personal protective equipment and other necessary medical supplies. There was also debate in Beijing about restricting critical pharmaceutical exports to the U.S., which could have had a devastating impact on Americans’ access to medicine.
Beijing also has a history of weaponizing its critical mineral supply. In the 2000s, China imposed export restrictions and taxes on REEs, spurring significant price increases globally.
Given the past practices of Putin and Chinese dictator Xi Jinping, the U.S. should take every step necessary to ensure it is not reliant on dictators for rare earth elements. They are too fundamental to our economic and national security.
Ending U.S. dependency on China for these products, and developing secure and resilient supply chains, will require a whole-of-America approach, with both the public and private sectors working in tandem. Fortunately, political leadership on both sides of the aisle are aware of the seriousness of this issue and are putting the wheels in motion to end our dependence. But more needs to be done.
In March, President Joe Biden invoked the Defense Production Act to increase domestic production of strategic critical minerals like lithium, nickel, cobalt, and others necessary for large-capacity batteries that power electric vehicles and store renewable energy. This is a prudent decision and builds upon several similar initiatives undertaken during the Trump administration.
With automakers transitioning to EVs at such a rapid pace, we must ensure that the U.S. retains the capability to power them without China’s help. There are also government incentives, such as the proposed EV tax credit, that can spur demand for electric vehicles and boost the need for a secure supply chain of the critical minerals necessary for their production.
Lawmakers are also on the cusp of passing major legislation, the Bipartisan Innovation Act, which would make huge investments into our domestic semiconductor industry and help secure our critical mineral supply chains. While there is posturing on both sides of the aisle that has prevented passage thus far, this issue is too important to be overlooked. Lawmakers have a responsibility to get this done.
Congress is considering other legislative solutions to bolster our domestic supply chain of critical minerals, but this will prove challenging under the overbearing environmental regulations levied against American miners. States like West Virginia are using federal funding to extract critical minerals from coal waste in abandoned mines and surrounding areas and waterways. It will take the federal government, state and local governments, and the private sector to launch initiatives like this one.
The U.S. is facing myriad challenges. If we want to secure our borders, prevent attacks on the homeland, defend our troops, and produce the vehicles and technology of the future, we need a robust and secure supply of critical minerals. Now is the time to roll up our sleeves and get to work. Our future depends on it.
Chad Wolf is the former acting U.S. Secretary of Homeland Security.
