Trump Orders National Security Probe into Critical Mineral Imports Amid Rising Tensions with China

U.S. President Donald Trump has ordered a sweeping national security review into critical mineral imports, signaling a major escalation in the administration’s trade policy and its effort to reduce American reliance on China for essential materials that power modern industries.

The directive, issued Tuesday, tasks Commerce Secretary Howard Lutnick with investigating whether tariffs should be imposed on all critical mineral imports under Section 232 of the Trade Expansion Act of 1962 — the same mechanism Trump used during his first term to levy tariffs on global steel and aluminum imports.

The move comes as concerns mount in Washington over China’s dominance in the critical minerals supply chain. China is the world’s leading producer of 30 out of 50 minerals deemed essential by the U.S. Geological Survey, including rare earth elements, cobalt, and nickel. Many of these materials are vital for defense systems, renewable energy technologies, and consumer electronics.

“U.S. dependency on mineral imports raises the potential for risks to national security, defense readiness, price stability, and economic prosperity,” Trump said in the order.

Under the new directive, Lutnick has 180 days to assess the U.S. supply chain vulnerabilities, the impact of foreign market distortions, and potential policy measures to strengthen domestic mining, refining, and recycling capabilities. The review will also examine the U.S. ability to produce semi-finished products like battery cathodes and wind turbine components.

Industry experts warn that the U.S. lacks the infrastructure to meet its critical mineral needs. The country has only one rare earth mine, limited lithium and nickel extraction, and no cobalt refining capacity. While it operates several copper mines, only two copper smelters exist nationwide.

“Ultimately the U.S. gets certain minerals from China because there are not alternative supplies elsewhere,” said Gracelin Baskaran, director of the critical minerals security program at the Center for Strategic and International Studies.

The announcement follows recent export restrictions by Beijing on rare earth elements in response to earlier U.S. tariffs, exacerbating concerns among American policymakers. China’s move underscores its ability to leverage its control over global mineral markets, having previously banned exports of three metals and imposed restrictions on others.

Trump’s latest order builds on his broader strategy to secure domestic mineral supply chains. Last month, he directed federal agencies to compile a list of U.S. mining projects that could be fast-tracked and to identify federal lands suitable for mineral processing facilities.

However, experts caution that establishing new mines and processing plants is a long-term process, raising immediate questions about how the U.S. will meet its mineral demands if sweeping tariffs are enacted.

“This isn’t just about extraction — it’s about the full supply chain,” said Abigail Hunter, executive director at SAFE’s Center for Critical Minerals Strategy. “To be effective, policy must reflect the complexity of global mineral processing and close existing tariff loopholes.”

As the White House continues to push for mineral independence, the outcome of the Commerce Department’s probe could reshape the future of U.S. trade and industrial policy in critical sectors.