Pentagon's Critical Mineral Stockpiling Plan Points To Shortage Expectations

Benzinga

The Pentagon launched a $1B plan to stockpile key minerals like cobalt and antimony to cut reliance on China. Triggered by new export curbs and Trump’s 100% tariffs, the effort expands U.S. defense reserves and lifted mining ETFs.

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00:00It's Benzinga bringing Wall Street to Main Street.

00:02The Pentagon has launched a $1 billion effort to stockpile critical minerals

00:06as part of a sweeping plan to reduce dependence on China and protect U.S. defense supply chains,

00:13according to Benzinga.

00:14The Defense Logistics Agency has begun large-scale procurement of metals vital to weapon systems

00:20and advanced manufacturing, including cobalt, antimony, tantalum, and scandium.

00:25The move follows Beijing's new export restrictions on rare earths,

00:29which triggered sweeping 100% tariffs from Trump under his One Big Beautiful Bill Act.

00:35The law allocates $7.5 billion for mineral initiatives and $2 billion to expand the defense stockpile by 2027.

00:44The Pentagon's purchases far exceed U.S. annual production, signaling concern over long-term shortages.

00:50The Sprott Critical Materials ETF rose 8.3% in pre-market trading to $28.84, up 76.71% year-to-date.

01:01For all things money, visit Benzinga.com.

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