Granholm says US is ‘very concerned’ about China’s dominance of mineral supply chain

Energy Secretary Jennifer Granholm on Wednesday warned of China’s dominance of the mineral supply chain, saying the United States is “very concerned.”

“This is one part of the supply chain that we are very concerned about in the United States,” Granholm told CNBC. “We don’t want to become overly dependent on countries that don’t share our values.”

China accounts for 60% of the world’s rare earth mineral production and 85% of mineral processing. Minerals are needed for some climate-friendly energy technologies, such as electric car batteries and solar panels.

Mining is a thorny issue for Democrats, who have historically fought to protect people and nature from mining harms such as pollution and land degradation. But the left also supports fighting climate change, which is expected to require the use of minerals.

Granholm also told CNBC that the U.S. is updating regulations to better support “sustainable and efficient” mining.

He said the United States would also work with countries such as Australia and Canada on this issue.

“We know that all countries want to be allowed to secure critical stocks of critical minerals and diversify the supply of those stocks,” she said, adding that the International Energy He spoke to the press in Paris on the sidelines of the agency’s 2024 ministerial meeting. “This is our focus, both internationally and domestically.”