US Moves to Restore Stockpiling ‘Panic Button’ in EV Metals Fight with China – by Mark Burton, Joe Deaux, Michael J Kavanagh, Jennifer A Dlouhy and Annie Lee (Bloomberg News – 19, 2024)

https://www.bnnbloomberg.ca/

(Bloomberg) — Insiders liken it to a “panic button.” And for more than 80 years, the primary job of the National Defense Stockpile has been to keep the US military supplied with essential raw materials and protect against supply shocks.

So when China surprised the markets by restricting exports of two niche industrial metals last year, top-level officials in the Pentagon-controlled agency—and the White House—faced an uncomfortable reality: Its panic button no longer worked. The realization triggered a different kind of alarm in Washington.

A senior official in the administration of President Joe Biden, who spoke on condition of anonymity to discuss internal deliberations, admits that Beijing’s decision to limit exports of gallium and germanium sent a jolt through the White House, adding to already urgent calls for Washington to confront China’s dominance of the global metals supply chain.

A lack of gallium and germanium—which are mined in tiny volumes alongside aluminum and zinc—would potentially affect production of everything from military satellites to missiles and night-vision goggles. On this occasion the crisis was averted as Chinese exports resumed, but years of budget cuts have shrunk the agency’s strategic reserves to record lows.

For the rest of this article: https://www.bnnbloomberg.ca/us-moves-to-restore-stockpiling-panic-button-in-ev-metals-fight-with-china-1.2036603