Tillis, Colleagues Introduce Bipartisan Legislation to Ensure Diverse, Secure Supply of Critical Minerals

Jul 22 2024

Tillis, Colleagues Introduce Bipartisan Legislation to Ensure Diverse, Secure Supply of Critical Minerals

WASHINGTON, D.C. - Senator Thom Tillis and his colleagues recently introduced the Global Strategy for Securing Critical Minerals Act, bipartisan legislation to develop a strategy and global approach to ensure that the U.S., its allies and global partners can count on a diverse and secure end-to-end supply of critical minerals.

"As the demand for critical minerals continues to grow, the U.S. must ensure we have the necessary diplomatic and financial tools to push back against the Chinese Communist Party and secure America's role in the minerals economy," said Senator Tillis. "This commonsense legislation safeguards our national security by protecting the production and procurement of these critical minerals."

Background:

Critical minerals, such as lithium, nickel, cobalt, and rare earth elements, are necessary inputs for technologies that play critical roles in our national security, including military equipment and defense systems, as well as emerging technologies such as electric vehicles and storage for our power grid. However, the People's Republic of China (PRC) currently dominates the mining, processing, and manufacturing of the majority of these minerals. U.S. dependence on the PRC for the procurement of these critical minerals raises substantial economic and national security concerns. To combat the dominance of the PRC, this legislation would ensure a secure supply of these minerals.

Specifically, the legislation would enhance diplomatic and financial tools to support public and private sectors in securing and processing these minerals by:

• Streamlining diplomatic efforts for securing minerals;
• Establishing diplomatic support for private sector investments abroad;
• Enhancing financial tools of the U.S. International Development Finance Corporation (DFC) the Export-Import Bank of the United States (EXIM);
• Creating a fund to assist investments in critical minerals;
• Enhancing public-private information sharing on manipulative adversary practices;
• Creating a public website to assist private sector companies in navigating government resources and financial support; and
• Expanding allied partnerships to secure critical minerals.

The legislation would also work to increase U.S. procurement of critical minerals in order to offset China's ability to manipulate and monopolize the market, including by:

• Requiring a report on the use of and need for new or expanded authorities to increase domestic production and procurement;
• Requiring an assessment on imposing duties on imported minerals, in particular from China; and
• Requiring a whole-of-government effort to develop workforce training programs to advance end-to-end critical mineral capabilities.

Full text of the bill is available HERE.

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https://www.tillis.senate.gov/2024/7/tillis-colleagues-introduce-bipartisan-legislation-to-ensure-diverse-secure-supply-of-critical-minerals