The Trump administration is ramping up efforts to secure US supply chains for critical minerals and semiconductors by converting federal grants for companies into equity stakes, aimed at reducing reliance on China.
The administration has taken or discussed stakes in several companies as part of the shift to direct ownership from traditional subsidies.
The following companies are linked to the strategic investment push:
USA Rare Earth
- Project: Rare earth mine‑to‑magnet supply chain
- Stake: The Trump administration was taking a 10% stake in the miner as part of the debt-and-equity investment package, sources familiar with the matter told Reuters
USA Rare Earth will build an integrated US rare earth and magnet production chain supported by $1.6bn (R25.52bn) in proposed CHIPS Act funding.
The effort looks to expand US rare earth processing capacity and strengthen domestic supply chains in critical minerals.
Korea Zinc
- Stake acquired: Around 10%
- Project: $7.4bn smelter in Tennessee
Korea Zinc will build a $7.4bn smelter in Tennessee through a joint venture with US partners.
The US department of war will hold a 40% stake in the JV, while the commerce department will provide $210m in subsidies under the CHIPS Act.
Korea Zinc will issue $1.9bn in new shares to the JV and US strategic investors, giving them about 10% of the company. The remaining $5.5bn will come from $4.7bn in US-backed loans and other financing. Construction begins in 2026, with phased operations starting in 2029.
The project strengthens US supply chains and reduces reliance on China, which dominates global critical mineral supply and recently restricted exports of antimony and germanium to the US.
Trilogy Metals
- Stake acquired: 10%, investment includes warrants to purchase an additional 7.5%
- Project: Upper Kobuk Mineral Projects (UKMP) in Alaska, a joint venture owned by Trilogy Metals and Australian miner South32.
The White House will invest about $35.6m for the development of critical mineral resources at the UKMP, which is located in Alaska’s Ambler mining district.
Trump also signed an executive order directing his administration to permit an access road to the Ambler mining district, a mineral-rich area with copper, zinc and lead deposits.
Critical Metals
- Stake under discussion: About 8%
- Project: Tanbreez rare earths deposit, Greenland
Trump administration officials have discussed taking a stake in Critical Metals, four people familiar with the discussions told Reuters.
A deal would give Washington a direct interest in the largest rare earths project in Greenland, the Arctic territory that Trump once suggested buying.
Lithium Americas
- Stake acquired: 5% in parent company and 5% in Thacker Pass JV with General Motors.
- Project: Thacker Pass lithium mine, Nevada
The project is seen as a linchpin in building a domestic supply chain, part of Washington’s long-standing drive to boost US production of lithium — a metal used to make batteries for electric vehicles and other electronics.
MP Materials
- Stake acquired: About 15%
- Project: Mountain Pass rare earth mine, California
MP operates the only US rare earths mine and is working to boost domestic processing and magnet production.
The US department of defence will become the largest shareholder in Las Vegas-based MP, making it Washington’s most high-profile investment to date in the critical minerals sector.
Intel Corp
- Stake acquired: 9.9%
The investment strengthens US supply chain security and supports Intel’s plans to build and expand advanced manufacturing facilities domestically.
Reuters
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