China’s rare-earth mineral dominance and the U.S. energy policy under President Biden quietly converge in a way that could pose significant national security risks.
At a Glance
- The United States needs to reduce its economic reliance on China to avoid potential punitive actions.
- China is rapidly gaining control over rare earth minerals, posing a strategic threat.
- Biden’s focus on green energy has inadvertently increased reliance on Chinese-sourced materials.
- Chinese control extends to a significant portion of global rare-earth elements, solar components, and battery production.
U.S. Energy Policy: A Risky Alignment
President Biden’s energy policy has pivoted towards renewable sources to combat climate change. However, the increased reliance on renewable energy inadvertently positions the U.S. to depend more heavily on Chinese exports of rare-earth minerals. These minerals are essential for producing technologies pivotal to the green energy sector, thus intertwining national resource needs with China’s export capabilities.
Biden’s regulations mandate the use of overseas renewables while curbing domestic oil, gas, and mineral development. Critics argue that this policy strengthens China’s hold on essential minerals, further entrenching their control over a key piece of the U.S. energy infrastructure. Renewable technologies require more of these critical minerals than traditional energy sources, translating into higher costs and increased vulnerability.
Economic and Security Concerns
The dominance China holds over rare-earth minerals and supply chains poses not only an economic threat but a strategic one. Many in security circles are alarmed that China might leverage its control to manipulate technology or cut off mineral supplies, both of which could severely impact U.S. national security and economic stability. Overdependency presents clear risks that need addressing.
“We are naive if we think the Communist Party will never use that power,” said Dutch Admiral Rob Bauer.
Recent techno-economic tensions between the U.S. and China have bolstered calls for a regulatory reassessment. Questions loom over the sustainability of depending on Chinese inputs, a matter viewed as a national security threat by many Western countries. These tensions underscore the need for policy redirection and autonomy.
Call to Action: Revisiting Policy
U.S. policymakers face strong calls for a comprehensive overhaul of energy, transportation, and critical mineral policies. Emphasizing domestic exploration and allied resource extraction will diminish the potential leverage adversarial nations like China would otherwise wield. Protecting supply chains from adversarial leverage is crucial for sustaining national security in an increasingly volatile global arena.
“China’s economic growth need not be incompatible with U.S. economic leadership,” said U.S. Treasury Secretary Yellen.
A balance must be struck. Complete decoupling may not be feasible, yet increasing clean energy capacity outside China’s influence would be beneficial. Achieving transparency and removing potential manipulation in mineral markets can mitigate this strategic threat while paving the way for sustainable and secure economic partnerships.
