Senator Ted Cruz said he plans to introduce legislation on Tuesday that aims to end U.S. reliance on China for rare earth elements used in the manufacturing of products including consumer electronics, electric vehicles and fighter planes. The bill is part of a push in Congress to shift supply chains, particularly in industries critical for national defense, away from China and back toward the U.S.
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"China provided 71% of the global rare earth elements produced in 2018 and was the top supplier to the U.S. that year, according to the Congressional Research Service. Some members of Congress have been pushing for years for the U.S. to reduce its reliance on China for the elements, particularly after trade restrictions in 2010 that sent prices spiking around the world.
The U.S. was once a major producer of rare earth elements -- which are relatively abundant but difficult to extract -- until China became a major low-cost producer in the mid-1980s, according to the CRS. Cruz and others in Congress have argued that Chinese state subsidies allowed that industry to flourish, killing off American competition."
You can read the rest of the peace via the below link:
https://www.bloomberg.com/news/articles/2020-05-12/cruz-seeks-to-end-u-s-dependence-on-china-for-rare-earth-metals
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