Mining companies around the world are responding to the growing demand for minerals needed to build electric vehicle (EV) batteries. To transform global transportation away from reliance on fossil fuels, manufacturers need cobalt, lithium, graphite, and other rare Earth minerals to build EV batteries. Experts predict that the price of lithium will rise by 30 to 100 percent in just four years. As the Biden administration plans to overhaul and redefine U.S. infrastructure, domestic production and refining of rare Earth minerals have emerged as a priority.
China Currently Dominates
Prior to the 1980s, the United States dominated the global metal market. Since then, strengthening U.S. environmental regulations discouraged domestic production. Concurrently, the Chinese government subsidized the flooding of global markets with rare Earth minerals to capture the market according to the U.S. Department of Defense. As a result, China accounted for 80 percent of these minerals imported to the United States in 2019.
U.S. On The Brink Of Major Investments
To achieve ambitious goals of electrifying transportation, infrastructure proposals from the Biden administration include massive investments meant to secure the domestic supply of important minerals. The National Defense Authorization Act for fiscal year 2021, approved in 2020, already emphasized sourcing minerals, such as lithium, domestically or from allies.
For example, Lynas Corporation out of Australia received a $30.4 million contract from the Defense Department to build a rare Earth mineral processing plant in Texas. In partnership with Blue Line Corp., Lynas also inked a deal to build a mineral separation facility in Texas.
Dramatic Increase In Mineral Demand Expected
University of California Berkeley researchers determined in a recent report that the United States would need substantial increases in lithium, cobalt, and graphite to produce EV batteries. At this time, the federal government appears to agree and consider domestic access to critical minerals a matter of national security.
If your facility relies on rare Earth raw materials, have you noticed an increase in prices yet?
ABOUT The US Department Of Defense
The Department of Defense is America’s largest government agency. With our military tracing its roots back to pre-Revolutionary times, the department has grown and evolved with our nation. Our mission is to provide the military forces needed to deter war and ensure our nation’s security.
The Army, Marine Corps, Navy, Air Force, Space Force and Coast Guard are the armed forces of the United States. The Army National Guard and the Air National Guard are reserve components of their services and operate in part under state authority.
The Defense Department has 11 combatant commands, each with a geographic or functional mission that provides command and control of military forces in peace and war.
ABOUT Lynas Corporation
Lynas Rare Earths Ltd (ACN 009 066 648) is a public company registered in Western Australia and listed on the Australian Securities Exchange (ASX).
Lynas supports the ASX Corporate Governance Council’s Principles and is committed to best practice in corporate governance.
Details of our corporate governance practices can be obtained from the Corporate Governance Statements in Our Annual Reports.
Lynas also supports the World Economic Forum Partnering Against Corruption Initiative (PACI). The World Economic Forum PACI is a global, multi-industry, multi-stakeholder anti-corruption initiative set up to raise business standards and to contribute to a competitive, transparent, accountable and ethical business society.
Lynas has a zero-tolerance policy towards bribery and corruption and has established an internal anti-corruption program.
ABOUT Blue Line Corp.
Welcome to Blue Line Corporation, your source for pure metal salts in powders or solution chemistry. We manufacture inorganic salts using the industry’s best practices and proven techniques supported by the latest technologies.We specialize in rare earth, zirconium compounds and sol-gel technology, formulating these unique materials for use in numerous industrial and high-technology reactions and applications.
We have been manufacturing top-quality inorganic salts since 2001, maintaining long-term partnerships as toll manufacturers and suppliers of custom syntheses for clients that range from start-ups to international corporations.
We look forward to speaking with you about your requirements for specialty chemical manufacturing and our ability to supply your needs, whether you order minimal quantities for prototyping or thousands of gallons of product.
ABOUT The University Of California Berkeley
From a group of academic pioneers in 1868 to the Free Speech Movement in 1964, Berkeley is a place where the brightest minds from across the globe come together to explore, ask questions and improve the world.
The University of California was founded in 1868, born out of a vision in the State Constitution of a university that would “contribute even more than California’s gold to the glory and happiness of advancing generations.”
Berkeley is home to some of the world’s greatest minds leading more than 130 academic departments and 80 interdisciplinary research units and addressing the world’s most pertinent challenges.
Article Sources
https://www.mining.com/roadmap-for-us-clean-transportation-future-unveiled/
https://www.cnbc.com/2021/04/17/the-new-us-plan-to-rival-chinas-dominance-i…
https://www.mining.com/australian-lithium-miners-orocobre-and-galaxy-to-mer…
