2025: Year that global foreign policy, particularly that of the US, revolved around rare earth minerals
While the global rare earths production landscape remains dominated by China, pushback is coming from all quarters. Especially the US, as Donald Trump was seen intent on disrupting Chinese dominance throughout the year. It also explained much of his foreign policy, be it his intentions to woo Ukraine or talks of annexing Greenland.
New Delhi: Foreign policy of different nations differs, and many variables are included in directing what each sees as pivotal aspects. Nonetheless some thematic commonalities sometimes do come about and often this comes due to one, often powerful, entity dictating terms by being intent on something particular. Others then have to follow suit. In the recent past, the US has often, if not outrightly dedicated, directed elements of global foreign policy.
In 2025, the US has been intent on acquiring rare earth minerals, something which might seem benign but for the US has been a key element of their policy this year. While a big part of this comes as the US attempts to counter the Chinese hegemony of the minerals, the use of which has become important in today’s technological and military apparatus. Thus, we have seen that a large part of US foreign policy directives has been targeted around this specific point.
What are REEs and why are they important?
Rare earth minerals are a group of 17 chemically similar elements that occur together in the Earth’s crust and are crucial to many modern technologies. They include the 15 lanthanides, along with scandium and yttrium.
Despite their name, rare earths are not always scarce in absolute terms, what is rare though is that they are often not found in abundance to make them an economically viable deposits. Particular concentrations are not in quantities that make extraction economically viable but the need they have developed today has started a global race for their acquisition.
The unique magnetic, luminescent and electrochemical properties of these minerals have today made them indispensable in high-technology and clean-energy applications. The main need is seen in electric vehicle motors, wind turbines and smartphones. The global race though has strengthened not just due to technological aspects but also due to the application of these minerals in military equipment. Be it precision-guided missiles, radar systems, night-vision devices or satellite communications, the reliance on rare earth components has skyrocketed.
Trump’s RRE pursuit in 2025
China currently dominates the rare earth mineral market, be it in terms of mining or processing. Mineral exploration and acquisition surrounding rare earths has thus turned from a geological problem to a geopolitical one. The United States, Japan, India and members of the European Union have made attempts to diversify supply and domestic production of RREs.
As the world transitions towards green sources of energy, rare earths have become important. Also, with global conflicts and uncertainties constantly on the rise, everyone has their eyes on expanding their rare earth mineral reserves. The US in this aspect seems to be intent on becoming the principal rival of China.
Many of the manoeuvres of US foreign policy in 2025 can be looked at through this lens. Be it strengthening pre-existing relations or developing new ones, the US has had an eye on strengthening its rare earth mineral supply in all of this. Many of the deals it has attempted throughout the year, while not directly linked to the minerals, seem to have it in the background.
A major example of this is US manoeuvres in terms of the Russia-Ukraine war. Initially appearing to slide more towards Russian interest, Donald Trump in the middle of the year was seen attempting to woo over Ukraine. He appeared to do this with a clearly stated intent in mind, acquiring rare earth minerals of the country. While Ukraine was seen to be hesitant in the start, it was seen to eventually agree for such a deal.
What was interesting was that Russia too soon saw that Donald Trump was intent on acquiring rare earth minerals, and offered prospects for one such deal from their end as well. Kremlin spokesperson Dmitry Peskov at that time said on this, "Quite broad prospects are opening up here. The Americans need rare earth minerals. We have a lot of them.”
Trump has also pushed other partnerships with key US allies which include Japan, Australia, Malaysia and Thailand to diversify critical minerals supply away from China. Pakistan, which is increasingly recognized as a country with notable rare earth element potential, has also been on Trump’s radar because of the same reason.
The other major example is that of Greenland. It is widely understood to possess significant deposits of rare earth elements and other critical minerals such as lithium, graphite, iron and uranium. Trump has been explicit in his desire to own or even buy back Greenland. While national security reasons are being touted as the main reason for this, the rich prospects of REEs in the region can also not be ignored.