In a week marked by high-stakes diplomacy, strategic maneuvering, and a dash of historical firsts, the White House has taken center stage in a global race for critical minerals. On August 19, 2025, President Donald Trump hosted the chief executives of Australian mining giants Rio Tinto and BHP in a meeting months in the making—an encounter that marked the first time leaders from either company had met with a sitting U.S. president, according to reporting from Reuters and Winnipeg Free Press. The timing was no accident: the meeting coincided with the long-awaited transfer of public land in Arizona to the two firms, a milestone in a 21-year quest to establish a massive copper mine in the state.
This Oval Office summit was more than just a photo opportunity. It underscored the Trump administration’s urgent push to shore up America’s access to the minerals that underpin everything from smartphones and electric vehicles to advanced weaponry and AI supercomputers. As the world’s appetite for these resources grows—driven by the green energy transition and a surging tech sector—the United States finds itself in a race against time and rivals, most notably China, which has come to dominate the global supply chains for critical minerals like cobalt, lithium, and rare earth elements.
Just two days after the historic meeting, news broke that the Trump administration is considering reallocating at least $2 billion from the CHIPS Act—a law originally designed to boost semiconductor research and manufacturing—to fund critical minerals projects. According to Reuters, this plan would not only funnel much-needed resources into mining, processing, and recycling operations but also elevate the role of Commerce Secretary Howard Lutnick in steering the nation’s minerals strategy. The move is seen as a creative workaround to avoid fresh spending requests, instead tapping into funds already authorized by Congress for chip factory construction and research.
Why the sudden urgency? The answer lies in both geopolitics and economics. The CHIPS Act, signed into law in 2022 under President Joe Biden, allocated a hefty $52.7 billion to lure chip production away from Asia and revive American semiconductor manufacturing. Yet, as Trump’s administration points out, the semiconductor industry’s voracious need for minerals like germanium and gallium—over which China has tightened its grip—makes domestic mining not just desirable but essential. “The administration is creatively trying to find ways to fund the critical minerals sector,” one source told Reuters, highlighting the administration’s determination to break free from dependence on foreign suppliers.
The stakes are enormous. As Winnipeg Free Press analysis notes, critical minerals such as cobalt, copper, graphite, lithium, neodymium, and nickel are the lifeblood of not only consumer tech but also medical devices, military hardware, and the powerful computers that drive artificial intelligence. The International Energy Agency forecasts that demand for these minerals will quadruple by 2040 if the world hopes to keep global warming below two degrees Celsius—a goal that hinges on the rapid deployment of green energy systems, from solar panels to electric vehicles.
But securing these minerals is far from straightforward. Much of the world’s supply is locked up in regions plagued by conflict, corruption, or political instability. In May 2025, the U.S. signed a minerals-for-security deal with Ukraine, granting American companies preferential access to the country’s sizable mineral reserves. Yet, as Ukrainian journalist Anna Romandash observed, “The paradox of the situation is that it is security guarantees, on which both parties rely, that allow for the possibility of the extraction of minerals.” With key deposits of titanium, lithium, and graphite sitting on or near active front lines, and Russia’s foreign minister dismissing security talks that exclude Moscow, the prospects for stable mining operations remain uncertain.
Elsewhere, the Democratic Republic of Congo (DRC)—the world’s largest supplier of cobalt and a major source of lithium, tantalum, and uranium—has seen its eastern provinces descend into chaos. The M23 rebel group, backed by Rwanda, seized control of the region’s two largest cities and several mines earlier this year, setting up checkpoints and taxing mineral exports. Even after a U.S.-brokered peace agreement between the DRC and Rwanda in June, more than a hundred armed groups continue to vie for control, casting doubt on the viability of any long-term supply chain. As former U.S. diplomat Michelle Gavin pointed out, “The notion that command and control of all of these entities leads back to Kinshasa or Kigali is fanciful.”
Other countries are eager to join the minerals-for-security game. Somaliland, a breakaway territory in the Horn of Africa, has offered the U.S. access to a Red Sea military base and critical minerals in exchange for formal diplomatic recognition. In Myanmar, the government-in-exile has dangled mining rights to American companies—provided the country’s military dictatorship falls. These overtures underscore just how valuable critical minerals have become in the 21st century, not just as economic assets but as bargaining chips in global power politics.
Back in Washington, the Trump administration’s plan to reallocate CHIPS Act funds is still under discussion and could evolve. According to sources cited by Reuters, it’s unclear whether the $2 billion would be distributed as grants or equity stakes, but Commerce Secretary Lutnick is eager to “get the $2 billion out the door” quickly. The administration is also eyeing additional sources of funding to support the sector. The Energy Department, for its part, has proposed $1 billion in new spending for critical minerals projects, tied to the 2021 Bipartisan Infrastructure Law.
The administration’s push has not been without controversy. The Pentagon’s recent investment in rare earths company MP Materials sparked questions about whether the U.S. government’s minerals strategy is coordinated or ad hoc. Some White House officials, including Chief of Staff Susie Wiles, were reportedly frustrated by confusion over whether Washington would guarantee a price floor for all miners, forcing the administration to clarify that it does not intend for MP Materials to have a monopoly. Meanwhile, Lutnick—who previously ran brokerage firm Cantor Fitzgerald, a major shareholder in Critical Metals Corp—will now play a central role in coordinating funding decisions across agencies, aiming to centralize and streamline America’s critical minerals policy.
For mining companies, the stakes are high. Kent Masters, CEO of Albemarle, the world’s largest lithium producer, told Reuters last month that building a U.S. lithium refinery is “difficult now without some type of government support or partnership.” Most minerals deemed critical by the U.S. government are still not processed domestically, leaving the nation exposed to supply shocks and price volatility.
As the world hurtles toward a future defined by clean energy, digital technology, and geopolitical rivalry, America’s scramble for critical minerals is only set to intensify. Whether the Trump administration’s bold moves will secure the nation’s mineral future—or simply add another layer of complexity to an already tangled web—remains to be seen. But one thing is clear: the race for resources is on, and the finish line is nowhere in sight.
