US Proposes New Critical Minerals Trading Bloc

Can Former President Trump Break China's Rare Earth Monopoly?

Feb. 4, 2026 at 5:15pm

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The United States government is reportedly pitching the idea of an allied minerals alliance, as concerns over the risks to the global rare earth supply chain move to the forefront. This comes as the US looks to reduce its reliance on China, which currently dominates the rare earth minerals market.

Why it matters

Rare earth minerals are essential for the production of a wide range of high-tech products, from smartphones and electric vehicles to military equipment. China's control over the global supply of these critical resources has long been a source of concern for the US and its allies, who fear being held hostage by Beijing's policies.

The details

The proposed trading bloc would aim to bring together the US and its allies to coordinate the mining, processing, and trading of critical minerals. This is seen as a way to reduce the world's dependence on China, which produces around 90% of the global supply of rare earth elements.

  • The proposal for the new critical minerals trading bloc was floated in early 2026.

The players

United States Government

The US government is leading the push for the creation of a new allied minerals alliance, in an effort to break China's dominance over the rare earth minerals market.

China

China currently controls around 90% of the global supply of rare earth elements, a position of power that has long concerned the US and its allies.

Former President Trump

The article suggests that the US is looking to former President Trump to help break China's rare earth monopoly, as he had previously taken a hardline stance against China on trade issues.

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What’s next

The US government is expected to continue its push for the creation of the new critical minerals trading bloc, as it seeks to reduce its reliance on China for these essential resources.

The takeaway

The US's proposal for a new allied minerals alliance highlights the growing geopolitical tensions surrounding the control of critical resources, and the potential for former President Trump to play a role in the effort to break China's rare earth monopoly.