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Trump Taps Pentagon AI to Set Prices for Critical Minerals

The Pentagon's AI program sets reference prices for critical minerals to counter Chinese market manipulation and support Western supply chains, involving over 50 countries.

  • This month, the administration seeks to use the U.S. Department of Defense's OPEN AI metals program to set reference prices for critical minerals as part of building a global metals trading zone.
  • Amid private industry efforts to boost transparency, China has in recent years produced minerals at a loss, dampening market prices and pressuring Western miners and manufacturers.
  • OPEN will initially target at least four minerals—germanium, gallium, antimony, and tungsten—using data from S&P Global, according to statements 15 and 24.
  • U.S. antimony project developers could benefit as AI-set prices boost profits, while automakers who use antimony face higher costs and legal questions over tariff applications.
  • Implementation remains uncertain because the U.S. administration must secure dozens of allied countries, pricing mechanics are unclear, and tariff rules face challenges amid funding gaps.
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The mineral plan arises at the time when the government is mobilized to quickly implement IA tools on other fronts

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cra.com broke the news in on Tuesday, January 21, 2025.
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