Trump Launches $12 Billion 'Vault' Project to Reduce Reliance on Chinese Rare Earths

U.S. President Donald Trump has launched a strategic critical minerals reserve initiative called the 'Vault Project,' allocating about $12 billion (47.318 billion MYR) as startup funding, aiming to reduce dependence on Chinese rare earths and other metals.

According to Bloomberg, the project's joint venture company will consist of $1.67 billion (6.585 billion MYR) in private capital, as well as $10 billion (39.432 billion MYR) in loans from the U.S. Export-Import Bank, to procure and stockpile minerals for automakers, tech companies, and other manufacturers.

The report further indicates that this project is similar to the U.S.'s current strategic petroleum reserve, with the difference being that it targets minerals used in products such as iPhones, batteries, and jet engines—such as gallium and cobalt. The reserve is also expected to include rare earth elements, critical minerals, and other strategically important elements with volatile prices.

The report also notes that over a dozen companies are already participating in the project, including General Motors, Stellantis NV, Boeing, Corning, GE Vernova, and Google under Alphabet; in addition, three commodity trading companies—Hartree Partners LP, Traxys North America LLC, and Mercuria Energy Group—have signed contracts to procure raw materials to fill the stockpile.