The House of Representatives passed a bill that would direct the Department of Energy to assess and address vulnerabilities in the critical mineral supply chain, which is essential to manufacturing products for the energy and defense sectors.
The Republican-backed bill is part of an effort to reduce the United States’s dependence on China for critical minerals. China has used its market dominance as leverage against the U.S. and others, raising national security concerns.
Democrats, however, argue that the measure amounts to a handout to the fossil fuel industry.
On Wednesday, the House voted 223-206 to pass the Securing America’s Critical Mineral Supply Act, written by Rep. John James (R-MI). The bill would direct the DOE to conduct ongoing assessments of the United States’s critical mineral supply chain vulnerabilities. It also directs the agency to create strategies to strengthen the supply chain by diversifying sources, boosting domestic production, developing alternatives, and advancing recycling technology.
The bill also redefines the term “critical energy resource” to include any energy resource essential to the United States energy system.
“The Securing America’s Critical Minerals Supply Act is a cornerstone for reshoring manufacturing, reducing dependence on foreign dictators and despots, and building an energy-independent America,” James said in a statement in May.
The bill is also co-sponsored by Rep. Jay Obernolte (R-CA) and Rep. Mariannette Miller Meek (R-IA).
The U.S. Chamber of Commerce last week sent a letter to the House expressing strong support for the bill.
“Congress must ensure that our critical mineral supply chain is secure, growing, and not dependent on any single foreign source,” the chamber wrote.
However, House Minority Whip Rep. Katherine Clark (D-CT) argued that redefining the term “critical energy resource” to mean any energy resource key to the system is a “gift to the fossil fuel industry,” because it could include carbon-emitting sources.
“Rather than work to bolster the important role DOE already plays in securing clean energy supply chains while protecting critical minerals, House Republicans are once again choosing to double down on fossil fuels,” Clark said.
TRUMP ADMINISTRATION LOOKS TO CREATE $12 BILLION CRITICAL MINERAL RESERVE
The Trump administration has sought to expand domestic critical mineral supply, including by partnering with other allied nations, investing directly in critical mineral companies, and establishing a critical mineral stockpile.
The State Department last week held a Critical Mineral Ministerial, featuring over 50 countries, to discuss ways to reduce dependence on Chinese critical minerals. At the conference, the administration announced plans to establish a trading bloc with allied countries to institute price floors for critical minerals, reassure companies that there will be demand, and coordinate financing of critical mineral mining.
