New US–Japan Pact Targets Dependence on China’s Rare Earths

The United States and Japan have signed a framework agreement to secure and diversify the supply of rare earths and other critical minerals, seeking to lessen their reliance on China. US President Donald Trump and Japanese Prime Minister Sanae Takaichi signed the new agreement during Trump’s visit to Tokyo. The deal promotes cooperation in extraction, recycling, stockpiling, and investment within mineral supply chains vital to the defence, automotive, electronics, and energy sectors. 

While the framework sets policy directions, it does not involve direct financial commitments. Both governments also announced a series of joint initiatives in fields such as energy, artificial intelligence, and critical minerals. Japanese companies are reportedly considering investments of up to US$400 billion in the United States.

The White House called the pact the start of a “new golden age of the ever-growing US–Japan alliance.” Mirroring similar deals with Australia and Malaysia, the Tokyo framework commits both governments to mobilize public and private capital to bolster domestic mining and processing. The two countries also pledged to pinpoint key projects and close gaps in the supply of rare earths and derivative products like permanent magnets, batteries, catalysts, and optical materials.