US may take strategic stakes in rare earths companies to tackle China ‘power grab’

Treasury secretary Scott Bessent raises possibility of taking more direct stakes in companies to protect national security in wake of Beijing's curbs on rare earths exports

The Trump administration has criticised China's increased restrictions on rare earth exports as a threat to global supply chains, and said it would seek to tighten control over strategic sectors by taking more stakes in key companies to counter Beijing.

Treasury secretary Scott Bessent told an event on Wednesday that China's dramatic new restrictions on rare earth minerals and magnets demonstrated the need for the US to be self-sufficient in critical materials or rely more on trusted allies.