Based on a recent GAO report:
Rare earth materials—rare earth ores, oxides, metals, alloys, semifinished rare earth products, and components containing rare earth materials—are used in a variety of commercial and military applications, such as cell phones, computer hard drives, and Department of Defense (DOD) precision-guided munitions. Some of these applications rely on permanent rare earth magnets that have unique properties, such as the ability to withstand demagnetization at very high temperatures.
Of course, almost all supply of these metals come from China. The US possesses ample rare earth metals deposits, but it shut down production years ago and it will take years before it can get production back on stream:
Based on industry estimates, rebuilding a U.S. rare earth supply chain may take up to 15 years and is dependent on several factors, including securing capital investments in processing infrastructure, developing new technologies, and acquiring patents, which are currently held by international companies.
Rare earth metals are also critical components of hybrid batteries and wind technology. So even if we wean ourselves off foreign oil, we’re simply replacing one dependency with another.
Raise your glass to foresight.
Read the full GAO report
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LT
