US says about 30 countries want to join key mineral club to reduce reliance on China
According to Reuters, U.S. Interior Secretary Doug Burgum said at a meeting of the Center for Strategic and International Studies on Tuesday that about 30 countries want to join a key mineral trade club composed of allies and partners to reduce reliance on China.
Burgum, who also serves as the head of the U.S. National Energy Strategy Council, said countries such as Japan, Australia, and South Korea have joined the club. "We plan to announce up to 11 such agreements this week," he said.
Burgum pointed out that another nearly 20 countries have shown "strong interest" in joining the club. He said the club will implement tariff-free trade and exchange, and set price floors for mineral products.
Burgum said the minimum price mechanism supported by the mineral club will attract long-term capital. "The private sector can participate in mining and refining investments because they know there will be a market and they don't have to worry about prices falling below the bottom line."
Burgum also said: "The United States has always adhered to free market principles and does not want to interfere with market operations. However, if one party floods the market with a specific material due to its dominant position, they actually have the ability to destroy a company or the production value of a country."
President Trump announced on Monday a plan to launch a strategic key mineral reserve called "Project Vault," which will integrate $2 billion in private funds and $10 billion in loans provided by the U.S. Export-Import Bank to help automakers, tech companies, and other manufacturers acquire and stockpile minerals. The U.S. Department of Defense has an independent reserve system.
The Chinese Foreign Ministry spokesperson stated that China's position on maintaining the stability and security of the global supply chain for critical minerals has not changed, and all parties have a responsibility to play a constructive role in this regard.
Original: toutiao.com/article/1856154836916234/
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