U.S. and Japan forge new framework to secure supply of critical minerals

The U.S.-Japan Framework for Securing the Supply of Critical Minerals and Rare Earths through Mining and Processing, released by the White House, outlines a broad plan for economic coordination, investment, and regulatory reforms aimed at reducing dependency on limited global suppliers and ensuring fair, transparent markets for these strategically vital resources.

Under the new framework, both governments will intensify efforts to ensure a stable and diversified supply of critical minerals, including lithium, cobalt, nickel, and rare earths used in semiconductors, batteries, and permanent magnets.

Mobilizing investment and streamlining regulation

A key element of the agreement is the mobilization of financial and regulatory support for mining and processing projects. Washington and Tokyo intend to provide funding through grants, guarantees, loans, or equity, while also easing permitting procedures to accelerate project timelines.

Within six months, both sides are expected to identify and finance selected projects that fill critical supply gaps, particularly those producing end products for industries in both countries and, where relevant, for “like-minded partners.”

The framework foresees the establishment of a U.S.-Japan Mining, Minerals, and Metals Investment Ministerial within 180 days to coordinate with industry stakeholders and set investment priorities.

To strengthen oversight, Washington and Tokyo also plan to enhance their national security tools to review and, if necessary, block asset sales involving critical minerals that may threaten supply chain integrity. Both countries will also increase cooperation in recycling and managing scrap minerals to promote circularity and reduce waste.

Expanding global partnerships and rapid response

Recognizing the global nature of mineral supply chains, the framework encourages collaboration with third countries to expand resource mapping and development. The United States and Japan plan to jointly conduct geological surveys to identify new resource bases and improve global supply chain diversification.

To manage potential disruptions, the two countries will create a U.S.-Japan Critical Minerals Supply Security Rapid Response Group, co-led by the U.S. Secretary of Energy and Japan’s Minister of Economy, Trade and Industry.

Earlier, Kazinform News Agency reported that Japan launched first yen-pegged stablecoin as digital payments gain momentum.