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| US Critical Mineral |
Bipartisan Legislation Aims to Reduce China’s Dominance
The US introduced the SECURE Act 2026 to strengthen domestic critical minerals supply chains. The law targets rare earths, lithium, cobalt, and graphite, essential for clean energy, electrification, and national defense. Therefore, policymakers aim to reduce China’s 60–90% control of global mining and processing. The $2.5 billion Strategic Resilience Reserve (SRR) will support domestic production and processing initiatives.
China’s influence has created global market distortions, including lithium price drops and rare earth export curbs. As a result, US projects struggled to remain profitable. Meanwhile, the SECURE Act incentivizes domestic recycling and unconventional feedstocks. The legislation establishes an independent government corporation with a presidentially appointed seven-member board to manage the SRR efficiently.
Strategic Resilience Reserve and Implementation Path
The SRR focuses on materials where US import dependence is nearly 100%. It allows partner governments to contribute capital for stockpiling. In contrast to legacy frameworks like the 1939 Stock Piling Act, this law prioritizes strategic investments for economic and national security. As Congress debates, the Act signals bipartisan urgency to secure critical minerals and mitigate supply chain vulnerabilities.
ScrapInsight Commentary
The SECURE Act 2026 highlights the rising strategic value of critical minerals in the US. By incentivizing domestic production and recycling, it strengthens supply chains against geopolitical risks. Scrap and secondary materials may gain importance as unconventional feedstocks are leveraged for national security and industrial resilience.
