TOKYO: The United States and Japan have signed a landmark agreement to secure the supply of critical minerals and rare earth elements, a move President Donald Trump described as the start of a “golden age” in US–Japan relations. The pact, signed during Trump’s visit to Tokyo on Tuesday, underscores Washington’s push to reduce reliance on China for resources vital to technologies ranging from electric vehicles to fighter jets.
According to the White House, the deal establishes a framework to ensure the “resilience and security of critical mineral and rare earth supply chains.” It follows similar memoranda of understanding that Trump recently signed with Malaysia and Thailand, part of a coordinated Indo-Pacific strategy to diversify resource partnerships.
Japan’s Prime Minister Sanae Takaichi, the nation’s first female leader, hosted Trump at Tokyo’s Akasaka Palace. “This is the greatest alliance in the world,” Takaichi declared, pledging to usher in a “new golden era” in bilateral ties. Trump echoed her sentiment, calling her leadership “a big deal” and promising that the US would “stand with Japan in every way possible.”
Race for Rare Earth Dominance
The deal comes amid intensifying competition over control of rare earth resources, where China currently dominates, accounting for roughly 70% of global mining and 90% of refining capacity. Beijing recently tightened export controls, requiring government approval for products containing even trace amounts of rare earths — a move that US Treasury Secretary Scott Bessent described as “China pointing a bazooka at the world’s supply chains.”
In response, Trump has sought to build alternative supply networks through strategic alliances. Earlier this week in Kuala Lumpur, he signed agreements with Malaysia and Thailand to expand critical mineral production, following an $8.5 billion framework with Australia. “In about a year from now, we’ll have so much critical mineral and rare earths, and you won’t know what to do with them,” Trump said confidently.
However, experts caution that breaking China’s dominance will take time. “China is too far ahead,” said John Mavrogenes, professor of economic geology at the Australian National University, estimating it could take a decade for alternative supply chains to become fully viable.
Signal to Beijing
Beyond its economic dimension, Tuesday’s signing ceremony carried strong geopolitical symbolism. Trump and Takaichi also issued a joint declaration celebrating a “golden age” in US–Japan relations — a deliberate message of unity ahead of Trump’s upcoming meeting with Chinese President Xi Jinping in South Korea, where trade and rare earths are expected to dominate discussions.
“By strengthening partnerships with allies, the US increases its leverage in negotiations with China,” said Charles Chang of Fudan University, noting that even symbolic deals “shift the balance of power.”
Takaichi, a protégé of former Prime Minister Shinzo Abe, capped the visit with gestures of goodwill — gifting 250 cherry trees to commemorate America’s 250th anniversary and fireworks from Akita Prefecture for the July 4 celebrations — blending diplomacy and friendship amid a new era of strategic competition.
