• The US government plans a $12 billion stockpile of critical minerals to reduce reliance on China.
• Project Vault will be funded with a significant loan from the Export-Import Bank.
• The initiative aims to stabilize supply chains for essential industries including technology and automotive.
• Major US companies like GM and Boeing are participating in the project.
• China currently dominates the rare earths market, controlling 70% of mining and 90% of processing.

The Trump administration is set to launch a strategic reserve called "Project Vault," which aims to build a critical minerals stockpile valued at $12 billion, primarily to counter China's dominance in the sector. This initiative is expected to be funded through a $10 billion loan from the U.S. Export-Import Bank, alongside approximately $1.67 billion from private companies, according to Reuters and Channel News Asia.

The stockpile will target rare earths and critical minerals that are essential for various high-tech applications, from electric vehicles to advanced military equipment. The move comes in response to China's restrictive export policies, which have heightened U.S. concerns over supply chain vulnerabilities, reports India Times and South China Morning Post.

It's projected that the stockpile will serve to cushion U.S. manufacturers from supply disruptions and price fluctuations, reflecting a significant shift in the country’s approach to mineral stockpiling. Unlike previous military-focused efforts, this initiative is directed towards commercial markets, as stated by CBS News and Los Angeles Times.

Participating companies include major players like General Motors, Boeing, and Google, reflecting diverse industry interest in mitigating supply chain risks. The initiative, under Trump's leadership, aims to establish a self-sustaining framework for critical minerals in the U.S., reducing dependency on China, which controls approximately 70% of global rare earth mining capacity, as highlighted by Reuters and Channel News Asia.