China’s Rare Earth Gamble Backfires-Trump’s America Sets Counterplan, India Poised To Join The Race

New Delhi.The battle over rare earth minerals has entered a new phase. China, which once held global control, made a major error by threatening to block exports. US Treasury Secretary Scott Bessant said China’s aggressive stance was like “putting a gun on the table.” He noted that Washington will now work to find alternative sources for rare earths within two years. This warning, made after a Trump-Xi meeting in South Korea, shows America’s growing resolve to cut dependence on Beijing’s minerals and build its own supply chain with trusted partners like India.

Can India Replace China’s Dominance?

For India, this crisis is an opportunity in disguise. Rare earths — used in smartphones, electric cars, missiles, and satellites — are found in abundance in Indian soil. Experts believe that if the US partners with India, it can turn this crisis into a long-term gain. India’s strategic location and strong ties with America make it a natural choice for joint exploration. Bessant’s remarks hint that New Delhi could emerge as the biggest winner from Beijing’s miscalculation.

Will Rare Earths Become New Weapons?

America has warned China that rare earths can never again be used as a weapon. Bessant made it clear that Trump’s administration has already prepared “countermeasures.” He said a balance has been reached with China, but only for now. If Beijing tries to weaponize its minerals, Washington will act immediately. The US expects that within the next 24 months, China’s control over these resources will collapse completely.

What Did Trump And Xi Agree On?

In a closed-door meeting, Donald Trump and Xi Jinping agreed to temporarily allow rare earth exports for one year. The two leaders held a two-hour discussion during the APEC summit. While they sought tariff relief, Xi tried to protect China’s hold over rare earths. However, Trump pushed for a deal that would allow US industries to continue functioning while new sources are developed. This was a tactical pause — not a surrender.

Why Is The US Turning To India?

Bessant said India’s growing tech and defense sectors align perfectly with America’s needs. The US sees India as a trusted democratic partner capable of providing both stability and resources. As the world’s largest democracy with untapped mineral potential, India could become the “game-changer” in reshaping global supply chains. This partnership will not only strengthen economic ties but also send a clear message to Beijing — the US has options.

How Did The Trade War Shape This?

The rare earth standoff follows years of US-China tariff battles. After both countries imposed heavy duties, their leaders reached a fragile peace. But China’s decision to weaponize rare earths reignited mistrust. The US realized that economic dependence on a rival power was a dangerous gamble. This new crisis has forced America to look for alternative allies — and India, with its growing global stature, fits perfectly into that strategy.

Why Are Rare Earths So Important?

Rare earth elements are the invisible fuel behind modern technology-from mobile chips to electric vehicles and fighter jets. Without them, industries across the world would collapse. China’s control over 80% of the global supply made it nearly untouchable for years. But with Trump’s firm stance and India’s potential collaboration, the balance may shift. The coming years could mark the start of a new global order — one where Beijing’s monopoly finally ends.