Trump, Musk, and Hancock - A clear link to ARU

Subject: Strategic Interests in Critical Minerals and National Security

Trump’s Interests and Alliances

U.S. President Donald Trump has long focused on securing access to critical minerals, recognising their importance for both economic growth and military applications. His relationships with influential figures such as Elon Musk, Australian mining magnate Gina Rinehart, and Russian President Vladimir Putin suggest a network of strategic interests spanning business and geopolitics. These alliances reflect broader concerns about global supply chain dependencies and national security vulnerabilities.

Greenland and Ukraine: Strategic Targets for Critical Minerals

Two key regions have been central to Trump’s critical mineral strategies: Greenland and Ukraine.

• Greenland: Known for its vast reserves of rare earth minerals, Greenland became a focal point for the Trump administration in 2019 when it proposed purchasing the territory from Denmark. This move aligned with U.S. national security concerns, given that China controls approximately 70% of global rare earth processing capacity (U.S. Geological Survey, 2023).
• Ukraine: Ukraine possesses significant untapped mineral wealth, including lithium, rare earth elements, and titanium, which are critical for modern technology and defence applications. The European Union has identified Ukraine as a key supplier in reducing reliance on Chinese-controlled minerals (European Commission, 2022).

U.S. Defence Budget as a Financial Resource

With an annual budget nearing US$1 trillion (Congressional Budget Office, 2024), the U.S. Department of Defence represents an enormous financial engine for securing critical mineral supply chains, and provide a pathway of sales/revenue for anyone in the defence sector (aka Trump, Musk, Gina etc).

Trump has acknowledged the potential of leveraging military spending to invest in rare earth mining and advanced military technologies, ensuring long-term strategic autonomy. The Musk/Trump army would save the US government billions of dollars, and the most powerful defence force in the world. The race is on!

Elon Musk’s Role in Technological Advancements

Elon Musk, through companies like Tesla and SpaceX, plays a pivotal role in increasing demand for rare earth elements. His enterprises develop:

• Electric Vehicles (EVs) – Each EV requires approximately 2kg of rare earth elements(International Energy Agency, 2023).
• Military-grade Autonomous Vehicles – Utilising rare earth-dependent components for advanced mobility and targeting systems.
• Humanoid Robots – Musk has projected that by 2040, there could be as many as 10 billion humanoid bots (Tesla AI Day, 2023). Given that each requires a similar amount of rare earth elements as an EV, the demand could reach unprecedented levels.

Projected Demand for NdPr and Strategic Investments

Neodymium-Praseodymium (NdPr) is critical for magnets used in EVs, wind turbines, and robotics. Musk and Trump recognise that the global supply of NdPr must increase by a factor of 189 to meet projected future needs (Adamas Intelligence, 2024).

To address this, mining magnate Gina Rinehart has strategically invested in major rare earth suppliers, including:

• MP Materials (MP) – The largest U.S.-based rare earth producer.
• Lynas Rare Earths (LYC) – A major Australian supplier with refining capabilities outside China.
• Arafura Rare Earths (ARU) – Holds a 38-year mine life and has expanded operations, as confirmed in their financial report (19/02/2025).

Industry Expansion and Shortfalls

To counter potential supply shortages:

• Hancock Prospecting has significantly increased investments in production capacity.
• ARU, which had previously paused construction for mine extension studies, is now implementing a 150% capacity expansion and exploring partnerships for processing hubs.

Conclusion: A Unified Direction

The trajectory of these developments points toward overwhelming demand for rare earths, primarily driven by humanoid robotics, EVs, and wind energy. Strategic movements by Trump, Musk, and key investors indicate a recognition of this inevitable supply shortfall. As AI and robotics become mainstream, shifts in labour and security are expected—leading to a future where household chores, repairs, and landscaping may well be performed by humanoid droids within the next decade.

Final Thought

Given this trajectory, the country that leads the way, is the next super power.

Rare Earths (NdPr) are to the future what oil was to the past.

I move back to BUY…