Australia fast-tracks critical minerals stockpile

Australia will use a A$1.2 billion program to buy and stockpile rare-earth elements, antimony and gallium, aiming to strengthen defence and technology supply chains and reduce reliance on China.

Australia will buy and stockpile key minerals from domestic producers under a A$1.2 billion program announced by government ministers. The plan will initially focus on rare-earth elements, antimony and gallium. Officials said the reserve is intended to strengthen defence and technology supply chains and reduce dependence on China. The government plans legislation to expand the powers of its export finance agency and the industry department to oversee transactions. Ministers said the reserve, originally targeted for mid-2026, will be operational by year-end. What is known: - The program is funded at A$1.2 billion and will initially target rare-earth elements, antimony and gallium. - Treasurer Jim Chalmers, Resources Minister Madeleine King and Trade Minister Don Farrell announced the plan on Monday. - The reserve will secure rights to minerals produced in Australia and on-sell those rights to meet demand, the government said. - Legislation is planned to widen the oversight powers of the export finance agency and the industry department (EFA). - Australia signed an agreement with the United States in October that includes an $8.5 billion project pipeline linked to the reserve. Summary: The reserve is intended to position Australia as a supplier for allied defence and technology needs and to reduce reliance on a dominant producer. Officials said they will raise supply chain security with G7 finance ministers and expect the reserve to be operational by the end of the year.