Kelly, Cotton Introduce Bill to End Reliance on China for Rare-Earth Elements

Today, U.S. Senators Mark Kelly (D-Arizona) and Tom Cotton (R-Arkansas) introduced the Restoring Essential Energy and Security Holdings Onshore for Rare Earths (REEShore) Act to protect America from the threat of rare-earth element supply disruptions, encourage domestic production of those elements, and reduce our reliance on China. 

“As a 25-year Navy veteran who served in the South China Sea, I know just how critical it is to invest in our nation’s defense and technology capabilities. Our bipartisan bill will strengthen America’s position as a global leader in technology by reducing our country’s reliance on adversaries like China for rare earth elements,” said Kelly.

“The Chinese Communist Party has a chokehold on global rare-earth element supplies, which are used in everything from batteries to fighter jets. Ending America’s dependence on the CCP for extraction and processing of these elements is critical to winning the strategic competition against China and protecting our national security,” said Cotton.

The REEShore Act would: 

• Create a Strategic Reserve of Rare-Earth Elements: Require the Departments of Defense and the Interior to create a strategic reserve of rare-earth elements and products by 2025. The reserve must meet the needs of the U.S. military, defense industrial and technology sectors, and other critical infrastructure for one year in the event of a supply disruption.
• Require Country of Origin Disclosure: Require Department of Defense contractors to track and disclose the origins of rare-earth magnets used in systems that it delivers to the U.S. military.
• Restrict Use of Chinese Rare-Earth Metals in Advanced Defense Technology: Prohibit Chinese rare-earth metals from being used in sensitive Department of Defense systems by 2026.
• Investigate China’s Unfair Trade Practices: Require the Office of the U.S. Trade Representative and Department of Commerce to submit a report to Congress on China’s unfair trade practices in the rare-earth metal market, with potential tariffs to follow.

Read the text of the bill HERE.