Washington, DC [US], February 4 (ANI): As the United States hosted the inaugural Critical Minerals Ministerial on Wednesday, US Vice President JD Vance proposed the creation of a preferential trade zone to protect critical minerals from external disruptions and called for the establishment of reference prices that reflect real-world fair market value.
Vance made the remarks in his opening address at the Ministerial. He said the Trump administration is proposing a concrete mechanism to restore the global critical minerals market to a healthier and more competitive state. “A preferential trade zone for critical minerals protected from external disruptions through enforceable price floors,” he said. “We will establish reference prices for critical minerals at each stage of production, pricing that reflects real-world fair market value. For members of the preferential zone, these reference prices will operate as a floor, maintained through adjustable tariffs to uphold pricing integrity.”
The Vice President noted that many countries have become dependent on arrangements they neither chose nor control, creating shared vulnerabilities. He said access to resources essential for national security and economic stability, including missile defense systems, energy infrastructure, advanced manufacturing, and emerging technologies, can be disrupted suddenly and without warning.
Vance said the Trump administration believes it is the responsibility of an elected government to confront such challenges and emphasized the importance of collective action. He added that the Ministerial is aimed at strengthening cooperation among allies to diversify global supply chains for critical minerals.
Highlighting the role of partnerships, Vance said the ultimate objective is to ensure that allies and partners are included in efforts to secure reliable access to critical minerals. He said the initiative seeks to align trade policy, development finance, and diplomatic engagement toward the shared goal of diversifying global supply while strengthening partner countries involved in the effort.
Vance also suggested the formation of a trading bloc among allies and partners to prevent market manipulation. He said flooding markets with cheap critical minerals to undercut domestic manufacturers ultimately leads to unfair price hikes once competition is eliminated. He added that the proposed trade zone would ensure stable pricing within the bloc regardless of fluctuations in the broader global market.
US Secretary of State Marco Rubio also highlighted the importance of economic security through critical minerals and called on allies to work together to correct past mistakes by pooling collective talent and innovation to ensure diversity and affordability in supply chains.
“We are gathered here today as the first step to rectify the mistake and bring together our collective talent and innovation,” Rubio said. He noted that mining had long been viewed as unglamorous compared to technology development, leading countries to outsource essential industries and, ultimately, their economic security.
Rubio described the issue as an international challenge requiring multilateral solutions. He said critical minerals power infrastructure, industry, and national defense, and emphasized the administration’s goal of building a global supply chain that is enduring and accessible to all nations at affordable prices.
He also highlighted the varied roles countries can play, from exercising purchasing power as consumers to refining minerals even without domestic resources, in order to build a more resilient and diversified global market. Rubio said that while the initiative began with the United States, it is intended to evolve into a global effort among like-minded countries to ensure secure and resilient supply chains without the risk of disruption or strategic leverage.
The United States is hosting the inaugural Critical Minerals Ministerial in Washington, bringing together delegations from more than 50 countries to advance collaboration on securing and diversifying global critical mineral supply chains, according to an earlier notice from the Office of the Spokesperson of the US State Department.
Ahead of the Ministerial, President Donald Trump announced Project Vault, a supply chain security initiative that will establish a US Strategic Critical Minerals Reserve. The reserve will operate as an independently governed public-private partnership designed to store essential raw materials at facilities across the country.
Rubio is chairing the Ministerial, which is being described as a historic effort to build collective momentum for cooperation on securing critical minerals vital to technological innovation, economic growth, and national security. (ANI)
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