## Pentagon's 'Deal Team Six' Launches $9 Billion Push to Break China's Rare Earth Dominance
The U.S. Department of Defense has established a specialized unit tasked with securing alternative supply chains for rare earth elements and critical minerals, marking a significant escalation in Washington's effort to reduce dependence on Chinese producers. The initiative, staffed by former intelligence and finance professionals, operates with unusual autonomy and a mandate to move quickly on strategic acquisitions and partnerships.

The unit has access to approximately $9 billion in financing authority under the Defense Production Act, with a mandate to identify and fast-track investments in mining, processing, and recycling operations worldwide. Sources familiar with the matter indicate the team is targeting projects in Australia, Canada, and several African nations where rare earth deposits remain underdeveloped. Unlike traditional procurement processes, this group functions with startup-like speed, authorized to negotiate and commit funds without the typical bureaucratic delays that have historically hampered U.S. responses to strategic resource vulnerabilities.

The push reflects mounting concern within the Pentagon that China's control over roughly 80 percent of global rare earth processing capacity poses a direct national security risk. Defense officials have warned that in a major conflict scenario, Chinese export restrictions could cripple production of F-35 fighter jets, advanced semiconductors, and other weapons systems dependent on these materials. The initiative represents a departure from decades of market-based assumptions about global supply chain reliability, signaling that the U.S. is treating critical minerals as a strategic domain where government intervention is both necessary and urgent.
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- **Source**: Japan Times
- **Sector**: The Vault
- **Tags**: Pentagon, rare earths, China, critical minerals, Defense Production Act
- **Credibility**: unverified
- **Published**: 2026-05-15 03:48:22
- **ID**: 83290
- **URL**: https://whisperx.ai/en/intel/83290