Australia Plans Strategic Minerals Reserve Ahead of Trump Meeting

Australia is preparing a strategic reserve for critical minerals worth A$1.2 billion. The plan focuses on securing future mineral supply through sales agreements instead of storing physical stockpiles.

The government’s critical minerals task force recently met with mining companies to shape the new policy. Officials aim to finalize details by the end of 2025. The reserve will include rare earth elements, which are essential for clean energy, artificial intelligence, and data centers.

Rather than hoarding resources, Australia plans to sign offtake deals with allies such as the United States, Japan, South Korea, and the UK. These long-term contracts will guarantee supply while strengthening international partnerships.

Prime Minister Anthony Albanese is expected to highlight the plan in his meeting with U.S. President Donald Trump this week. The move positions Australia as a reliable global supplier at a time when China is tightening its export controls.

The government also wants to create a Western price index for rare earths to reduce China’s market influence. However, experts warn this could be challenging due to limited global data and market control.

Earlier this year, Albanese pledged to boost investment in mining and reduce Australia’s dependency on Chinese imports. The new reserve marks a significant step toward that goal and strengthens the nation’s economic security and trade resilience.