Project Vault: US Launches $12B Bid for Mineral Independence

WASHINGTON, DC – February 02, 2026 – The Trump Administration today launched “Project Vault,” a landmark $12 billion initiative designed to create a strategic national stockpile of critical minerals and insulate the U.S. economy from global supply chain disruptions. In a move compared to the creation of the nation's emergency oil reserves decades ago, the program aims to secure the raw materials essential for everything from car batteries and smartphones to advanced defense systems.

Established in partnership with the Export-Import Bank of the United States (EXIM), Project Vault will directly address the nation's growing dependence on foreign, and often adversarial, nations for essential resources. The White House stated the program will launch with $12 billion in seed funding to procure and store key minerals like lithium, cobalt, graphite, and rare earth elements, providing a critical buffer for American manufacturers against price volatility and geopolitical coercion.

“Project Vault is exactly the kind of serious, industrial-strength action America needs right now,” said Adam Muellerweiss, President of the Responsible Battery Coalition (RBC), in a statement welcoming the initiative. “The Trump Administration has made this a national security priority, driving multiple agencies to coordinate a whole-of-government approach and engaging the private sector to make this possible.”

A Fortress for American Industry

At its core, Project Vault is a massive public-private partnership. The program is underpinned by a $10 billion direct loan from EXIM, complemented by nearly $2 billion in private-sector capital. This financial structure is designed to support domestic production and processing while aiming for a net positive return for U.S. taxpayers, according to EXIM Chairman John Jovanovic.

More than a dozen of America’s industrial giants have reportedly signed on to participate, including automotive leaders General Motors Co. and Stellantis NV, aerospace titan Boeing Co., and tech powerhouses like Alphabet Inc.'s Google and Western Digital. The operational logistics—procuring and storing the vast mineral reserves—will be handled by seasoned commodity trading firms Hartree Partners LP, Traxys North America LLC, and Mercuria Energy Group Ltd.

The project’s mechanism is innovative. Participating companies commit to purchasing specified quantities of materials at fixed prices, covering the carrying costs for storage and financing. In return, they gain access to the stockpile during declared supply emergencies, a feature intended to stabilize markets and prevent the kind of production shutdowns that have plagued industries in recent years.

“Americans remember why we created the Strategic Petroleum Reserve. When supply chains break down — as we saw during the Oil Embargo — the impact is immediate, and consumers feel it,” noted Steve Christensen, Executive Director of the RBC. “Batteries are the next choke point... Project Vault helps ensure Americans are never held hostage to adversarial supply chains for something this essential.”

Countering a Geopolitical Threat

The strategic impetus for Project Vault is clear: to break America’s precarious reliance on China. According to recent government data, the U.S. is 100% reliant on imports for at least 12 critical minerals and imports more than half of its supply for 29 others. China currently dominates this landscape, controlling an estimated 70% of global rare earth mining and a staggering 90% of the processing and refining market.

This market concentration has given Beijing immense geopolitical leverage, which it has demonstrated in the past by threatening or imposing export restrictions during trade disputes. For Washington, this dependency represents a critical vulnerability for both the industrial base and national security.

“China has spent decades cornering the market on critical mineral processing and using that dominance as economic and geopolitical leverage,” warned Major General Bill Crane (Ret.), Chair of the RBC's Critical Minerals Leadership Roundtable. “The United States cannot afford to keep depending on supply chains controlled by Beijing. Project Vault helps ensure America can sustain production, support the defense base, collaborate with allies and withstand disruptions.”

The initiative is the culmination of a broader legislative and executive push, including the “One Big Beautiful Bill Act” passed last July, which allocated billions toward bolstering mineral-related programs and expanding the national stockpile.

A 'Generational Investment' or Short-Term Fix?

Initial reactions from U.S. industry have been overwhelmingly positive. The project was reportedly “oversubscribed,” signaling strong demand from manufacturers eager to de-risk their supply chains. Industry groups have hailed the program as a necessary and forward-thinking step toward ensuring American competitiveness.

However, some analysts caution that while stockpiling is a crucial defensive measure, it is not a silver bullet. One analyst at Water Tower Research noted that Project Vault, while a significant step, is not a quick solution to China's decades-long strategic entrenchment in the critical materials sector. This sentiment was echoed by experts in China, who view the initiative as a short-term buffer rather than a fundamental restructuring of the global supply chain.

Despite this, the program’s supporters argue it is a vital catalyst. By guaranteeing demand and mitigating risk, Project Vault is expected to stimulate long-term investment in mining and processing facilities within the United States and allied nations. The initiative is not merely about hoarding minerals but about fostering a resilient and reliable alternative to the current, fragile system.

This strategic pivot extends beyond U.S. borders. U.S. Secretary of the Interior Doug Burgum has already announced that 11 additional countries are expected to join the initiative, signaling a concerted effort to build a global alliance for mineral security. This follows previous efforts by the administration to diversify supply chains through agreements with partners like Australia and Japan, creating a network of nations committed to free and fair access to the resources powering the 21st-century economy.