Pentagon Considers Canadian Mining Investments to Outdo China
In this Sept. 11, 2012, file photo, a four-wheel-drive vehicle follows a large mining truck as it makes its way to the top of a Boggabri coal mine near Gunnedah, Australia, 450 kilometers (280 miles) northwest of Sydney. 
Minerals are becoming an issue of national security thanks to the transition to electric cars that are hugely reliant on lithium. They are also used in cellphones, tablet computers and electronics in general. While the US does not produce enough lithium, China controls two-thirds of the world’s lithium-processing capacity.The US military is weighing possible participation in Canadian mining projects, media outlets have reported.According to the reports, the Pentagon has received hundreds of millions of dollars under the 1950 Defense Production Act invoked by President Biden. This act allows using public funds to be invested in key industries essential for national security.Media reports indicate that this decision is based to some extent on research carried out by the White House last year. The research warned that US dependence on foreign-made goods is a threat to national security. The document listed semiconductors, batteries and over 50 types of minerals.The US does not possess the capacity to produce enough lithium and other minerals to satiate the needs of its hi-tech industry. Currently, there is only one lithium mine in the US and its production accounts for only 1% of global lithium output.This policy comes as part of a worldwide Sino-American rivalry, in which the Canadian government banned Chinese companies from its mining industry recently. The US is currently seeking to be as economically independent from China as possible since the eastern power is viewed as Washington’s principal rival.
