U.S. Energy Secretary Jennifer Granholm has voiced significant apprehension regarding China’s overwhelming control of the global critical minerals supply chain. Speaking to CNBC on February 14, Granholm emphasized the United States’ unease about relying heavily on countries with potentially divergent values.
Granholm highlighted ongoing efforts within the U.S. to modernize its regulations, including outdated mining laws dating back 150 years, to ensure the sustainable and efficient extraction of critical minerals. She underscored the importance of forging partnerships with allies like Australia and Canada, aiming to diversify supply chains and bolster critical mineral stockpiles both domestically and internationally.
During discussions at the International Energy Agency’s 2024 Ministerial Meeting in Paris, France, Granholm emphasized the need to address both extraction and processing of critical minerals. While acknowledging that enhancing domestic production might take time, she emphasized the urgency of cooperating with allied nations to secure necessary materials for transitioning to a clean energy economy.
China currently dominates the critical minerals supply chain, accounting for approximately 60% of the world’s rare earth minerals and materials production. Granholm’s remarks underscore the pressing need for strategic collaboration and diversification within the global supply chain to mitigate dependence on single sources of critical minerals.
