China for decades has sought to manipulate global critical minerals prices, using its control as an economic weapon to expand its manufacturing sector and its geopolitical influence, a U.S. House of Representatives committee said on Wednesday…President Donald Trump and his predecessor, Joe Biden, have in recent years sought to crimp China's dominance in the critical minerals sector…The committee's legislative report aims to codify presidential orders into law with an array of recommendations including price controls and expanded government oversight of price reporting agencies…"China has a loaded gun pointed at our economy, and we must act quickly," said Congressman John Moolenaar, a Michigan Republican and chair of the committee…It alleges that China's role as the world's largest processor of many critical minerals has made it nearly impossible for the United States and allies to determine the true price of certain metals, including rare earths…The report also suggests that the London Metal Exchange, where many minerals are traded, is susceptible to influence from Beijing, as it is owned by the Hong Kong Exchanges and Clearing…The House committee's report, based on published reports and data, also alleges that China has specifically targeted the lithium and rare earths industries, raising and lowering prices to bolster its own economy…One of those recommendations, the creation of a "critical minerals czar," was instituted by Trump earlier this year. The report also suggests the creation of a U.S. minerals stockpile, which the administration has indicated it is open to.

"From cell phones to fighter jets, every American is dependent on minerals that China manipulates for its own selfish interests. As we saw last month with its rule on rare earths, China has a loaded gun that is pointed at our economy, and we must act quickly. China’s predatory practices have caused American job losses, driven American miners out of business, and jeopardized national security. This new investigation reveals China’s playbook and makes crucial recommendations for how we can secure our future for generations to come," said Moolenaar…."Critical minerals are vital inputs for countless industries, including defense, energy, and healthcare," said Congressman Rob Wittman (R-VA), the co-leader of the Select Committee's Critical Minerals Policy Working Group last Congress. “Establishing a strategic reserve, as recommended in this new report, is essential to strengthening America’s supply chain and ensuring national security. China’s monopolization of critical minerals has threatened our competitiveness and the resilience of the defense industrial base. It is time to put an end to this dependence and put the U.S. at the forefront of global innovation.”…The People's Republic of China (PRC) government subsidizes its state mining companies with tens of billions of dollars including zero-interest-rate loans to support its global acquisition of mining assets…The PRC has established a legal framework governing mineral price reporting, giving Beijing the ability to raise and lower prices to favor its national security interests…The PRC pushed down the price of critical minerals, including lithium—an important element used in everyday items…When the prices were low, the PRC subsidized its firms to aggressively acquire mining assets and cement its control over the global supply chain…"The PRC government, under the Chinese Communist Party (CCP), has engaged in a coordinated, decades-long scheme to control different critical minerals and bend the global market to their will. The PRC's domination of critical minerals stems from its view of minerals in geostrategic terms, not as typical market commodities," the investigation states…The investigation concludes with several policy recommendations, including:

Toyota Motor said on Wednesday it had begun production at its $13.9 billion North Carolina battery plant as it ramps up hybrid production and confirmed plans to invest $10 billion over five years in U.S. manufacturing…The Japanese automaker first announced the plan in December 2021 to produce batteries for its hybrid and electric vehicles. Batteries from the plant are set to power hybrid versions of the Camry, Corolla Cross, RAV4 and a yet-to-be-announced all-electric three-row battery electric vehicle. The plant is producing hybrid batteries for factories in Kentucky and a Mazda Toyota joint venture in Alabama…Toyota's 11th U.S. factory, on a 1,850-acre (749-hectare) site, will be able to produce 30 GWh annually at full capacity and house 14 battery production lines for plug-in hybrids and full EVs. It will eventually employ 5,000 workers.