By Jeffrey A. Newman Esq.
China has cut off exports of critical rare earth minerals to US defense companies resulting in major delays in the production of necessary parts of military weaponry and electronics. According to the Wall Street Journal, one drone parts maker that supplies the U.s. military, the blackage has delayed orders for up to two months. In addition to the delays, China’s blckage of the minerals have resulted in skyrocketting costs in one case up to 60 times the standard price.https://www.wsj.com/world/asia/china-western-defense-industry-critical-minerals-3971ec51?mod=hp_lead_pos5 We rely on rare earth minerals for defense satellites, microelectronics, drone motos, and jet fighter engines among many other uses. According to the Jounral, the chief executive of Leonardo DRS said the U.S. based defense firm is down to safety stock of germanium. In excess of 80,000 parts are used in Defense Department weapons systems require critical minerals. China currently dominates about 70% of rare earth mining and 90% of processing globally, giving it leverage through export restrictions and technology controls
In July, the Pentagon agreed to oay $400 million for a stake in MP materials, the largest US based mineral processing company in the Americas. This company is upramping its production of magnets but the need is far greater than it can supply. The United States requires roughly 10,000 tons of rare earth magnets annually to meet its current demand, which covers both military and civilian applications. This figure is for rare earth magnets specifically, which are critical for defense systems such as precision-guided munitions, advanced fighter aircraft, naval sonar, missile actuators, as well as commercial uses like electric vehicles and wind turbines. Beyond magnets, the U.S. also imports and uses other forms of rare earth oxides—often embedded in finished goods—for catalysts, ceramics, metallurgy, and polishing. Key mineral types: Neodymium, Praseodymium, Dysprosium, Terbium (primarily for magnets), plus others for chemical, glass, and catalytic applications.
MP Materials processes over 45,000 tons per year now, aiming for 60,000 tons/year.
A “geological Manhattan Project”—a large-scale, focused national mobilization—could significantly accelerate the identification and development of U.S. domestic rare earth mineral resources to reduce dependence on China. The U.S. played a historic role in rare earth chemistry and was a global leader during the original Manhattan Project, when scientists at Ames Lab and Los Alamos solved fundamental rare earth separation challenges.
Known U.S. Locations with Rare Earth Minerals (including Alaska & Puerto Rico):
Monazite-rich beach sands: Some U.S. east coast (South Carolina, Georgia, Florida) beach sands contain significant monazite, a rare earth phosphate mineral.
Mountain Pass, California: The largest and most historically important U.S. rare earth mine. Currently operated by MP Materials. It primarily produces light rare earths (e.g., neodymium, praseodymium, lanthanum). Ore is mined and concentrated in the U.S., but most is still sent to China for processing.
Bokan Mountain, Alaska: Contains both light and heavy rare earth elements, particularly rich in heavy rare earths. Ucore Rare Metals leads efforts here but production is not yet at a commercial scale.
Bear Lodge, Wyoming: Near-term potential for mining, managed by Rare Element Resources.
Other U.S. prospects (lower 48 states): Deposits in Idaho (Diamond Creek), Nebraska (Elk Creek), Texas (Round Top), and Missouri. Most are in exploration or permitting phases, few are producing.
Puerto Rico: There is currently no public evidence of active rare earth mining projects, but geological surveys suggest potential for critical mineral occurrences.
Such a project will require Billions in funding and support for streamlined permitting and direct supoport for mining and processing infrastructure. However, the risks of not undertaking such measures are significant. Absent self sufficiency, our military capabilities could be placed at risk. Strategic alliances with allied countries will remain critical for non-domestically available minerals and rapid supply chain resilience.
A “Manhattan Project-like” approach, would coordinate scientific, industrial, and government resources rapidly to develop extraction, separation, and manufacturing technologies on a large scale, alongside workforce development and environmental management innovations. In addition, a focused national-scale effort on rare earths would contribute significantly to the global high-tech material supply chain’s robustness, enabling more stable production of critical technologies like electronics, electric vehicles, and renewable energy systems, which depend heavily on rare earth elements.
Jeffrey Newman is a whistleblower lawyer. His firm’s web site is www.JeffNewmanLaw.com and he can be reached at Jeff@Jeffnewmanlaw.com or at 978-880-4758
