Australia is using its own rare earth mineral resources to exchange for benefits granted by the United States.

According to U.S. media reports, on Monday, U.S. President Donald Trump and Australian Prime Minister Anthony Albanese signed a key mineral agreement at the White House. The U.S. is focusing on Australia's abundant rare earth resources, while China has imposed stricter regulations on the export of its critical minerals.

The two leaders described the agreement as an $8.5 billion transaction between allies. Trump said that the agreement was reached after months of negotiations. "After about a year, we will have a large amount of critical minerals and rare earths, which you don't even know how to deal with," Trump said, this Republican also boasted about the deal. "Their value will reach $2." Albanese added that the agreement would "raise the U.S.-Australia relationship to a new level."

This month, Beijing announced that foreign companies need to obtain approval from the Chinese government when exporting magnets containing even trace amounts of rare earth materials, which either come from China or are produced using Chinese technology. The Trump administration stated that this gives China extensive influence over the global economy through controlling the technology supply chain.

On Monday morning, Kevin Hassett, Director of the White House National Economic Council, told reporters before Trump met with Albanese: "Australia will be really, really helpful in making the global economy safer and less vulnerable to the rare earth coercion we've seen from China."

Hassett pointed out that Australia has one of the best mining economies in the world, while praising its refineries and rich rare earth resources. Among the Australian officials accompanying Albanese, there was the minister responsible for resources, industry, and science, and Australia possesses dozens of critical minerals needed by the United States.

This agreement highlights how the U.S. is using its global allies to "counter" China, especially when China weaponizes its dominant position in traditional rare earth materials. These rare earth materials are used in various products, from jet engines, electric vehicles, to laptops and mobile phones.

Senior officials in the Trump administration had previously used Beijing's strategy as a slogan to mobilize the U.S. and its allies to work together to minimize China's influence.

Another topic of discussion was AUKUS, a security agreement between Australia, the United States, and the United Kingdom, signed during the Democratic administration of U.S. President Joe Biden.

Trump said on Monday that AUKUS was established earlier, but currently the agreement is "progressing very quickly and smoothly." Albanese said, "Our defense and security partnership with AUKUS is very important to us."

Defense Secretary John Furlong said that the U.S. hopes to improve upon the original AUKUS framework for the three signatory countries, while clarifying some of the "ambiguities." "Therefore, it should be a win-win for everyone," Furlong said.

Albanese, a center-left leader, was re-elected in May, and shortly after his victory, he stated that his party expanded its majority by not following the Trumpist model. "Australians chose to address global challenges in their own way, caring for each other, while building for the future," Albanese told his supporters in his victory speech.

Original source: www.toutiao.com/article/1846540880828416/

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