Donald Trump's administration is drafting an executive order to allow the stockpiling of deep-sea metals, people familiar with the matter said, Reuters reported. and "Financial Times".
The aim is to counter China's dominance of battery minerals and rare earth supply chains.
The plans say the stockpile will "create large quantities ready and available on US soil for future use" in the event of a conflict with China that could restrict imports of metals and rare earths.
Last week, China placed some rare earths under export restrictions as part of its response to President Donald Trump's tariffs. That could limit U.S. access to minerals crucial to everything from smartphones to electric car batteries.
The stockpile is seen as part of a broader push to accelerate deep-sea mining applications under U.S. law and to build onshore processing capacity.
China produces about 90 percent of the world’s refined rare earths, a group of 17 elements used in defense, electric vehicles, clean energy and electronics. The U.S. imports most of its rare earths, with most coming from China.