Kamala Harris Advocates for National Reserve for Critical Minerals

Kamala Harris has proposed the establishment of a national reserve for critical minerals, aiming to secure essential materials for U.S. manufacturing. This initiative is part of her broader strategy to enhance domestic production and reduce reliance on foreign sources, particularly from China.

Key Takeaways

• Kamala Harris advocates for a national reserve of critical minerals like cobalt, lithium, and nickel.
• The proposal aims to bolster U.S. manufacturing and supply chains.
• It reflects a shift in industrial policy, focusing on domestic production and security.

The Need for a National Reserve

In her recent campaign paper, Harris emphasized the importance of critical minerals in various industries, including electric vehicles, aerospace, and medical devices. By establishing a national reserve, she aims to ensure a steady supply of these materials, which are vital for technological advancements and national security.

Competing with Global Powers

The proposed reserve would position the U.S. to compete more effectively with countries like China, which currently dominate the mining and refining of these essential minerals. Harris's plan aligns with President Biden's efforts to reimagine the government's role in manufacturing, but it introduces new tactics and incentives to address supply chain vulnerabilities.

A Comprehensive Industrial Strategy

Harris's vision includes:

1. Domestic Processing Capacity: Building out facilities to process critical minerals within the U.S.
2. Tax Credits: Introducing "America Forward tax credits" to incentivize companies to invest in domestic production, estimated to cost around $100 billion.
3. Permitting Reform: Streamlining the approval process for mining and manufacturing projects to accelerate development.

Addressing Supply Chain Disruptions

Recent events, such as Hurricane Helene disrupting mining operations in North Carolina, highlight the fragility of supply chains for critical minerals. Harris's proposal aims to mitigate such risks by ensuring that the U.S. has a reliable source of these materials, reducing dependence on foreign suppliers.

The Political Landscape

Harris's plan comes at a time when the political landscape is shifting. With the upcoming elections, contrasting approaches to manufacturing and industrial policy are emerging. While Harris focuses on building a robust domestic supply chain, her opponents propose different strategies, including tax cuts and deregulation.

Conclusion

Kamala Harris's advocacy for a national reserve of critical minerals represents a significant step towards strengthening U.S. manufacturing and securing essential resources. As the nation navigates the complexities of global supply chains, her proposal could play a crucial role in ensuring economic and national security in the years to come.

Sources

• Why Kamala Harris says we need a national reserve for critical minerals, Yahoo Finance.