Korea-based zinc smelter is set to supply nearly 20% of the United States’ strategic mineral needs, marking a significant step in Washington’s efforts to diversify critical mineral supply chains and reduce dependence on China.
Boost to US Supply Security
According to reports, the agreement will see the Korean facility provide key refined minerals essential for industries such as defence, electric vehicles, renewable energy, and advanced manufacturing.
US officials have prioritised securing stable access to strategic minerals amid rising geopolitical competition.
Strategic minerals, including zinc-related by-products and rare metals, are vital for batteries, semiconductors, military hardware, and clean energy technologies. Supply disruptions can pose national security risks.
The deal strengthens the US position by sourcing materials from a trusted ally.
South Korea’s Growing Role
South Korea has emerged as a key partner in global mineral processing, leveraging advanced smelting technology and strong trade ties with Western economies.
Analysts say the move reinforces South Korea’s importance in reshaping global supply chains.The agreement aligns with US efforts to reduce reliance on China, which currently dominates global mineral processing and refining capacity.
Diversification strategies have gained urgency amid export controls and trade tensions.
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