Summary:
Trump orders Commerce and USTR to negotiate deals to reduce reliance on imported processed critical minerals
White House flags foreign mineral processing as a national security vulnerability
Section 232 authority invoked to monitor and potentially restrict imports
Builds on earlier Bessent-led talks on securing mineral supply chains
Signals tougher, security-driven U.S. trade posture ahead of elections
President Donald Trump has ordered the Commerce Department and the Office of the U.S. Trade Representative to begin negotiating agreements with foreign suppliers aimed at reducing America’s reliance on imported processed critical minerals, citing rising national security risks tied to global supply chains.
In a statement from the White House, the administration warned that U.S. dependence on overseas processing of rare earths, lithium, cobalt and other strategically important minerals represents a growing vulnerability for the defence, energy and advanced technology sectors. While the United States possesses significant raw mineral resources, officials argue that the concentration of processing capacity abroad, particularly in geopolitically sensitive jurisdictions, leaves critical industries exposed to supply disruptions and coercive trade practices.
Trump invoked his authority under Section 232 of U.S. trade law, granting the administration powers to monitor, restrict or adjust imports deemed harmful to national security. The move allows the White House to override or amend previous trade decisions if necessary, with a stated aim of strengthening domestic supply chains and safeguarding military readiness.
The announcement follows meetings earlier this week involving Treasury Secretary Scott Bessent, where critical mineral supply security was flagged as a priority issue. Those discussions underscored Washington’s concern that clean energy investment, defence production and next-generation technologies are increasingly constrained by mineral processing bottlenecks outside U.S. control.
While officials framed the directive as a long-term industrial strategy rather than an immediate trade action, the use of Section 232 signals a willingness to escalate policy tools if negotiations fail. It also reinforces the administration’s broader shift toward economic nationalism, linking trade, security and industrial policy more explicitly as the U.S. heads into an election year.
