Addressing the Threat From Reliance on Critical Minerals From Adversaries
Oct 5, 2020
Signed by: Donald Trump
Signed on: Sep 30, 2020
Published on: Oct 5, 2020
Oct 5, 2020
Signed by: Donald Trump
Signed on: Sep 30, 2020
Published on: Oct 5, 2020
Summary
Declares a national emergency to boost U.S. mining and processing of key minerals, reducing dependence on other countries like China.
What problem does this solve?
The United States depends too much on other countries, especially rivals like China, for important minerals needed for technology, the military, and the economy. This order starts a national emergency to help American companies mine and process these minerals at home, making the country's supply chain safer.
What does this order do?
Reference
Text:
Declares a national emergency
Declares a national emergency to deal with the threat of relying on critical minerals from foreign adversaries.
Investigates reliance on foreign minerals
Orders the Secretary of the Interior to investigate U.S. reliance on foreign critical minerals and recommend actions, including possible tariffs or quotas.
Prioritizes domestic mineral supply chains
Establishes a U.S. policy for government agencies to prioritize the growth and protection of domestic mineral mining and processing.
Speeds up mining project permits
Directs all relevant agencies to use their authority to accelerate the permitting and completion of projects related to expanding the domestic mineral supply chain.
Considers grants for mineral production
Directs the Secretary of the Interior to consider creating a grant program for equipment used in the production and processing of critical minerals in the U.S.
Clarifies loan eligibility for mineral projects
Requires the Secretary of Energy to issue guidance clarifying how mineral supply chain projects can be eligible for existing government loan programs.
Amends critical minerals list process
Changes a previous executive order to require that the official list of critical minerals be updated from time to time.
Who does this affect?
- U.S. mining and processing industries
- U.S. military and defense contractors
- Technology and manufacturing companies
What is the real world impact?
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Strengthens national security
Reduces the country's vulnerability to foreign governments that could cut off access to minerals needed for military equipment and essential infrastructure.
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Boosts the domestic mining industry
Creates jobs and economic growth by supporting U.S. companies through faster permit approvals, potential grants, and loan programs for mining and processing.
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Counters China's economic influence
Directly challenges China's control over the global market for rare earth elements and other key minerals, aiming to shift supply chains back to the United States and its allies.
When does this start?
This order takes effect on September 30, 2020, and sets several deadlines for government agencies to take action.
Agency authority reports
Within 30 days, agency heads must report on their legal powers and funds to support domestic mineral supply chains.
Department of Energy guidance on loans
Within 30 days, the Secretary of Energy must publish guidance on loan eligibility for mineral projects.
State Department report on allies
Within 45 days, the Secretary of State must report on plans to work with allies to secure mineral supply chains.
Interior Department investigation report
Within 60 days, the Secretary of the Interior must report on the investigation into foreign reliance, with recommendations for action.
Agency strategy reports
Within 60 days, agency heads must submit their strategies for using their powers to meet the order's goals.
Ongoing threat reports
By January 1, 2021, and every 180 days after, the Secretary of the Interior must report on the ongoing threat from mineral reliance.