AFR Allies’ critical minerals deal to hit China...

AFR

Allies’ critical minerals deal to hit China dominance

Australian critical minerals projects could be funded by more than a dozen like-minded nations after the United States and other allies signed on to establish a joint financing body in an escalation of efforts to break China’s supply stranglehold.

Known within the federal government as the “NATO of critical mineraAustralian ls”, the deal means development and export agencies in the US, European Union, the United Kingdom, Canada, Japan, South Korea and India could contribute to develop the projects.

Those minerals are used in everything from defence systems to smart-phones and medical devices. China controls about 70 per cent of global output, with national security officials concerned Beijing could cut off supply at any time.

“[It] demonstrates the importance of critical minerals and rare earth elements to the future security of the region,” she said. “The new network will strengthen opportunities to co-finance critical minerals projects in Australia and will help Australian projects access investment to create jobs and prosperity.”