On Wednesday (4 February), the US administration convened a high-level meeting with 54 countries to discuss the creation of a critical minerals market independent of China. During the meeting, US Vice President JD Vance presented the initiative, describing it as a “concrete mechanism to return the global critical minerals market to a healthier and more competitive state”. The proposal included coordinated price floors and the establishment of a preferential trade zone, an approach supported by several participants, including the EU and Japan.
The US is also seeking to secure support for a draft framework agreement, which asks signatories to identify and support key projects, within 6 months, that can deliver material to the US and its allies.
Commission Vice-President for Industry, Stéphane Séjourné, attended on behalf of the EU, with his participation understood to be aimed at encouraging the US to grant the EU an exemption from its 50% steel tariffs.
While the presence of Commissioner Séjourné at the critical minerals event highlights a potential opening for EU-US trade relations, it is a US-led initiative, so its structure and priorities are likely to be shaped around US strategic interests.
European Commission President Ursula von der Leyen posted on X, sharing: “Europe, Japan, and the US will work with others on collective resilience through a plurilateral trade initiative on critical minerals… next step: a bilateral EU-US agreement on raw materials.”
In addition, President Trump is expected to launch a $12 billion mineral stockpile in order to reduce shocks on key industries, as the US reduces its reliance on China. The new plan, titled “Project Vault”, will combine a $10 billion loan from the US Export-Import Bank, as well as $1.67 billion in private capital. The US already holds a National Defence Stockpile to ensure there are sufficient minerals for defence needs.
Taken together, these developments confirm that critical minerals are one of the priorities now at the centre of US industrial, trade, and security strategy. For the EU, engagement offers an opportunity to secure access to strategic materials and advance bilateral cooperation in the sector. However, it also brings a risk of being drawn into a framework primarily designed to serve US priorities.
