U.S. Project Aims to Diminish China’s Rare Earth Element Dominance

Recently announced by Alaska Governor Mike Dunleavy, a new initiative backed by former President Donald Trump seeks to undermine China’s stronghold in nanotechnology, energy, and automotive production. This follows the discovery of significant reserves at the Graphite One project near Nome, Alaska, which could shift the balance as China previously dominated with 90% of production.

According to the International Energy Agency, by 2024, the United States will rely on imports for approximately 93% of its rare earth elements and graphite. Notably, the Graphite Creek deposit has been labeled as the largest of its kind in the U.S.

This week, the announcement of rare earth elements in addition to graphite suggests that the U.S. might intensify its campaign against the Chinese Communist Party, aligning with Trump’s “American Energy Domination” policy, as stated by sources familiar with the developments.

Batteries, renewable energy technology, fiber optics, lighting, and consumer electronics—like mobiles and tablets—heavily depend on rare earth materials. This reliance places the U.S. at a manufacturing disadvantage, particularly with China planning magnet-related rare earth export restrictions in 2024.

Anthony Huston, president of GraphiteOne, emphasized that the recent findings signify “a truly intergenerational deposit” at Graphite Creek. Some materials extracted are expected to be sent to an advanced manufacturing facility for graphite and battery components in Ohio.

He confirmed the discovery of two substances eligible under the Defense Production Act, noting, “The potential for a fully integrated graphite supply chain, alongside rare earth extraction during production, suggests their value would be significantly enhanced.”

Among the rare earth elements discovered are neodymium, praseodymium, dysprosium, and terbium, alongside garnet-containing ores that might absorb certain rare earth elements. Dunleavy has recognized the GraphiteOne project as North America’s largest and encouraged continued support from both state and federal levels.

Houston remarked that Dunleavy understands Alaska’s vital role as a source of essential U.S. metals and minerals, with the potential to change the landscape of resource dependence in the 21st century.

In addition to Alaska, rare earth discoveries have also been reported in Pennsylvania. Republican Lou Barletta previously sought to draw attention to these deposits during his congressional tenure in the 2010s. Anthracite in Pennsylvania’s Appalachian Mountains has revealed up to 17 rare earth elements, which could further challenge China’s supremacy.

Barletta stated, back in 2018, that funding was secured for initial efforts to explore extracting rare earths from coal wastewater in areas with a history of abandoned mines. However, there has been relatively little progress in Pennsylvania compared to the actions taken in Alaska.

Researchers at Pennsylvania State University announced a method to recover cobalt, manganese, and nickel from waste materials created by mining processes, showing potential for future exploration in the region.