Critical Minerals of the USA: Why They Matter for National Security & Industry

The United States depends on critical minerals for national security, technological innovation, and industrial growth. These minerals are essential for defense systems, renewable energy, advanced manufacturing, and consumer electronics. However, many of these resources are either scarce or heavily imported, creating potential vulnerabilities in supply chains.

This article explores what critical minerals are, their economic and security significance, major U.S. sources, and ongoing efforts to secure domestic supply chains.

What Are Critical Minerals?

Critical minerals are defined by the U.S. government as minerals that are:

Essential to economic and national security
At risk of supply chain disruption
Lacking viable substitutes

The U.S. Geological Survey (USGS) identifies 50 minerals as critical, including rare earth elements (REEs), lithium, cobalt, graphite, and nickel. These minerals are vital for advanced technologies and industrial applications.

Why Are Critical Minerals Important?

1. National Security and Defense

Critical minerals play a vital role in military defense systems:

Rare earth elements are used in radar, night-vision goggles, and precision-guided weapons.
Titanium and tungsten strengthen military aircraft and armor.
Lithium and cobalt power military-grade batteries and communication systems.

Without a reliable domestic supply, the U.S. military risks foreign dependency, particularly on countries like China, which controls much of the global rare earth supply.

2. Renewable Energy & Green Technology

Critical minerals are essential for the transition to clean energy:

Lithium, cobalt, and nickel are used in electric vehicle (EV) batteries.
Graphite is crucial for energy storage in battery systems.
Rare earth elements are key components of wind turbines and solar panels.

As the demand for renewable energy and electric vehicles grows, securing critical mineral supplies will be crucial.

3. Advanced Manufacturing & Consumer Electronics

Critical minerals support the development of:

Smartphones, computers, and medical devices
Aerospace components and 5G technology
Industrial robotics and AI-driven machinery

Industries such as semiconductors and electric mobility rely heavily on rare metals, making them a priority for domestic production.

Key Critical Minerals in the USA

While the U.S. has rich mineral resources, many critical minerals are imported from foreign sources. Below are some of the most important critical minerals and their role in industry.

1. Rare Earth Elements (REEs)

Used in electronics, defense systems, and renewable energy.
The U.S. relies on China for over 80% of its rare earth supply.
The Mountain Pass mine in California is the only significant U.S. rare earth producer.

2. Lithium

Essential for EV batteries, energy storage, and aerospace applications.
The U.S. has lithium reserves in Nevada, North Carolina, and California.
The Thacker Pass project in Nevada is one of the largest lithium mines under development.

3. Cobalt

Critical for lithium-ion batteries and aerospace alloys.
The U.S. mainly imports cobalt from the Democratic Republic of the Congo (DRC).
Exploration efforts in Idaho and Minnesota are focused on developing domestic sources.

4. Graphite

Used in EV batteries, lubricants, and fuel cells.
The U.S. currently imports all of its natural graphite, mostly from China.
Potential deposits exist in Alaska and Alabama.

5. Nickel

Essential for stainless steel, EV batteries, and military equipment.
U.S. nickel reserves exist in Minnesota, Michigan, and Oregon.
The need for nickel is rising due to its role in battery technology.

6. Titanium & Tungsten

Used in aerospace, defense, and industrial manufacturing.
The U.S. is highly dependent on foreign tungsten, with China being the leading supplier.
Titanium is mined in Florida and Virginia, but more domestic sources are needed.

7. Fluorspar

Key component in metallurgy, aluminum production, and industrial chemicals.
The U.S. imports nearly all of its fluorspar, mainly from Mexico and China.

8. Bauxite (Aluminum Ore)

Aluminum is critical for transportation, construction, and packaging.
Although aluminum is produced in the U.S., the country depends on bauxite imports from Australia, Guinea, and Brazil.

Challenges in U.S. Critical Mineral Supply

Despite having mineral-rich regions, the U.S. faces several challenges in critical mineral production:

1. Foreign Dependency

The U.S. imports over 50% of its critical minerals, with China dominating rare earth and battery metal markets.
This creates supply chain vulnerabilities during geopolitical conflicts.

2. Environmental Regulations

Mining in the U.S. is subject to strict environmental laws, which slow down permitting and exploration.
Balancing mineral extraction with sustainability is a key challenge.

3. Lack of Processing Facilities

Even when critical minerals are mined in the U.S., processing and refining often occur overseas.
China controls over 85% of global rare earth processing capacity, making domestic investment in refining critical.

Government Initiatives to Secure Critical Minerals

The U.S. government is taking major steps to reduce reliance on foreign sources and promote domestic mining:

1. Critical Minerals Strategy

In 2021, the Biden administration launched a critical minerals supply chain review.
Investments are being made to expand domestic mining and refining capacity.

2. Defense Production Act (DPA) Funding

The DPA has been used to boost rare earth mining and processing.
Funds have been allocated to expand lithium, cobalt, and nickel production.

3. Partnerships with Allies

The U.S. is working with Canada, Australia, and the European Union to develop secure supply chains.
These partnerships aim to reduce dependence on China and Russia.

4. Recycling and Alternative Materials

Research into recycling lithium-ion batteries and rare earth elements is increasing.
Scientists are also exploring alternative materials for critical applications.

Future Outlook: Strengthening U.S. Critical Mineral Independence

To ensure a secure and sustainable supply of critical minerals, the U.S. must:
✔ Expand domestic exploration and mining to reduce foreign dependence.
✔ Invest in processing facilities to refine minerals within the U.S.
✔ Encourage battery recycling and circular economy strategies.
✔ Support research into alternative materials for advanced technology.

Critical minerals are the foundation of modern industry, and securing their supply is vital for both economic stability and national security.

Final Thoughts

The importance of critical minerals to the U.S. cannot be overstated. From national defense and renewable energy to high-tech industries, these minerals are the key to innovation, economic growth, and security.

With growing demand and global competition, America must take bold steps to develop domestic resources, reduce foreign dependency, and create a secure and sustainable future.