(MENAFN) The US Department of Defense is rapidly moving to secure nearly $1 billion worth of rare earth minerals following China’s introduction of export restrictions on materials with potential military applications.

China currently produces around 70% of the world’s critical minerals, which are essential for manufacturing advanced technologies and modern weapons systems, according to the US Geological Survey.

Recent filings by the US Defense Logistics Agency (DLA) show that Washington has significantly intensified its efforts to build a strategic stockpile of rare earths in recent months. A former defense official told reporters that the US is “definitely looking for more, and they’re doing it in a deliberate and expansive way, and looking for new sources of different ores needed for defense products.”

Some of the minerals now targeted by the Pentagon were not previously on its procurement list. The US military is reportedly seeking to purchase up to $500 million in cobalt, $245 million in antimony, $100 million in tantalum, and $45 million in scandium, among other resources.
“Market participants have been taken aback by the volumes requested by the DLA,” said Cristina Belda of a consultancy firm, adding that “many consider the quantities to be unrealistic, especially within the proposed five-year timeframe.”

China’s new regulations, announced last Thursday, require foreign companies to obtain special authorization before exporting strategic minerals containing even small amounts of rare earth elements. The move is justified by Beijing as a matter of national security and affects materials with potential dual-use for military purposes.

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