China’s dominance of the rare-earth mineral supply chain gives Beijing a powerful tool of economic coercion against rival states. Vital rare-earth minerals like cobalt, copper, lithium, and graphite are crucial inputs for products used in daily life and in national defense. These include electric vehicles, solar panels, military aircraft, and semiconductors. Ensuring control over the supply chains of these critical minerals is becoming a key aspect of geopolitical rivalry. 

Much of this competition is focused on Africa, which holds about 30 percent of the world’s mineral reserves. China has already secured dominant positions in essential parts of these supply chains, recognizing the strategic importance of controlling access to these critical resources. 

China produces nearly 70 percent of the world’s rare earth minerals, and has reinforced this position through deliberate efforts to control every stage of the critical mineral supply chain. This process begins long before extraction, with Chinese banks and engineering firms securing involvement. Beijing then extends that control to the project’s end, pairing ownership of mines with ownership of the railways, roads, and ports through which these materials move. The result is a supply system in which China extracts, refines, and exports minerals from Africa which ensures that, in many cases, raw materials move on Chinese terms. 

China’s dominance in the rare earth mineral trade stems from its strategic approach to mineral supply chains, not just profit. This allows Beijing to maintain long-term control of mines during economic downturns. This is a luxury that profit-driven Western competitors do not have. Chinese firms enter the market fully prepared and offers financing, workforce, equipment, and logistics that often gain significant control over project execution from the start. This strategy has helped Beijing achieve “processing dominance,” meaning control over the refining system to the point that winning a mining contract in Africa does not ensure independence from Chinese supply chains. Although China produces only about 10 percent of the world’s lithium, cobalt, and copper, it controls roughly 40-90 percent of the refining capacity for these materials. Therefore, a Western company extracting ore in sub-Saharan Africa has not truly succeeded if the ore must be processed through a Chinese refinery. For the United States, this distinction has far-reaching consequences beyond market competition. 

The U.S. is highly exposed to supply chain disruption risks because critical minerals have uses that extend far beyond consumer products. They are key components of systems essential to national defense, including F-35 fighter jets, Virginia- and Columbia-class submarines, Tomahawk missiles, radar systems, Predator unmanned aerial vehicles, and more. The U.S. maintains only one domestic rare earth mine, possesses minimal refining infrastructure, and relies on China for 70% of rare earth imports. Expanding domestic mining and refining capacity requires significant capital investment and highly specialized expertise, limiting the speed at which domestic production can realistically offset exposure risks. The result is a situation in which the U.S. defense industrial base is significantly dependent on a strategic adversary for materials it cannot easily replace, and which are essential to the production and sustainment of advanced military capabilities. 

The risks of relying on a strategic adversary like China for materials vital to American national security are clearly shown by the China–Japan Rare Earths dispute of 2010. In September 2010, a Chinese fishing boat collided with two Japanese Coast Guard ships in the East China Sea, leading to the arrest and detention of the boat’s captain. In reaction, the Chinese government stopped exporting critical minerals to Japan. Tokyo, which depended on Beijing for nearly 90 percent of its rare earth mineral imports, saw prices for these goods rise nearly 10-fold in the year after the incident. Although the United States and Japan are in different positions within global supply chains, Japan’s experience demonstrates the broader strategic dangers that arise when a country becomes heavily dependent on a geopolitical rival for key resources. 

The coercive value of rare earth dominance lies not only in China’s ability to deny access but also in the threat of disruption. Even the possibility of export restrictions can drive price volatility, delay industrial production, complicate defense procurement, and undermine long-term investment planning. Japan’s response to the 2010 dispute reveals that dependency on rare earth elements is not unavoidable. Japan’s proactive approach included investing in recycling technologies, developing alternative materials, diversifying supply chains through overseas mining projects in Australia and other countries, and building stockpiles to secure reserves. As a result, Tokyo reduced its reliance on Chinese rare earths by about 30 percent, demonstrating that policy actions can yield tangible results. More broadly, Japan’s experience underscores a key truth of modern strategic competition: dependence on an adversary for vital materials can create vulnerabilities that go beyond economics. Washington and its partners should take notice. 

Holden Johansen is an independent researcher focused on geopolitical security risks. He holds a B.A. in Political Science from Miami University and completed coursework in European Politics and Security at the Danish Institute for Study Abroad in Copenhagen. The views expressed in this article are the author’s own. 

China’s Critical Mineral Strategy and the Structure of Strategic Competition was originally published on Global Security Review.

Shifting to upgrading existing airframes with advanced technology rather than developing entirely new 6th-generation aircraft could offer significant long-term benefits. This approach results in substantial cost savings by avoiding the massive research and development expenses associated with new platforms while leveraging existing maintenance infrastructure. Additionally, integrating advanced technologies into proven airframes allows for faster deployment, reducing development cycles from decades to just a few years. Reliability would also improve, as these upgraded aircraft are built on battle-tested designs, avoiding the risks of unproven platforms and costly performance shortfalls.

Another key advantage is the ability to adopt modular and open-architecture upgrades, which enable rapid integration of artificial intelligence (AI), sensor fusion, hypersonic weapons, and advanced stealth coatings without requiring entirely new aircraft designs. This incremental innovation approach ensures continuous modernization without the financial and operational burdens of a generational shift. Furthermore, sustaining production of existing airframes stabilizes the industrial base and supply chain, preserving skilled labor and reducing reliance on experimental manufacturing techniques. However, this approach does come with trade-offs.

While upgraded airframes can incorporate many next-generation technologies, they may struggle to compete with emerging peer threats, such as China’s J-20B and a future J-31, which are designed from the ground up with advanced stealth and next-generation propulsion. Despite these limitations, prioritizing enhancements to proven aircraft, while strategically investing in select next-generation platforms, could provide a cost-effective, lower-risk approach to maintaining American air superiority in the evolving global security landscape.

For example, the estimated cost per F-15EX Eagle II is $87.9 million per unit. However, the total procurement cost, including development, support, and spares, can push the price per aircraft to around $117 million. At first glance, this makes the F-15EX slightly more expensive than the F-35A ($82.5 million) but cheaper in terms of long-term sustainment and operational costs, as it leverages existing F-15 infrastructure.

Leveraging emerging technology to enhance existing military capabilities is a cost-effective strategy for extending platform lifecycles, improving combat effectiveness, and increasing survivability. AI and autonomy integration, such as AI copilots for fighter jets and swarm unmanned aerial vehicles (UAV), enhance decision-making and reduce risks for human operators. Upgrading legacy aircraft and naval platforms with hypersonic weapons significantly expands strike ranges and lethality, while applying stealth coatings and advanced electronic warfare systems enhances survivability by reducing detectability and countering modern threats. Cybersecurity and network-centric warfare advancements, including real-time data-sharing and AI-driven analysis, improve battlefield coordination across multiple domains, ensuring more effective mission execution.

Meanwhile, integrating directed-energy weapons, such as high-energy lasers on ships and vehicles, provides cost-effective, high-precision air and missile defense without expending traditional munitions. Ground combat platforms, including M1A2 Abrams tanks and infantry systems, are also benefiting from active protection systems and AI-powered targeting, significantly improving survivability and lethality. In space and intelligence, reconnaissance satellites with AI-driven threat detection and persistent intelligence, surveillance, and reconnaissance (ISR) drones ensure superior situational awareness. By applying AI, hypersonics, stealth, electronic warfare, and directed energy to proven platforms, the US can modernize its forces without the extreme costs and risks of developing entirely new systems, ensuring long-term military superiority while maintaining fiscal responsibility.

This strategy allows the United States to maintain its military superiority over China’s rapidly expanding and modernizing forces by prioritizing technological advancements over costly new platform development. By integrating AI, hypersonics, stealth, electronic warfare, and directed energy into existing platforms, the US can rapidly upgrade combat capabilities without the lengthy and expensive process of designing entirely new aircraft, ships, and ground systems. This ensures that American forces remain combat-ready and adaptable while China continues to build up its military infrastructure.

One key advantage is speed and efficiency—modernizing proven platforms allows the US to deploy cutting-edge technologies much faster than China, which is still refining its next-generation aircraft, naval forces, and missile systems. Upgrading legacy airframes like the F-15EX and B-52J with hypersonic weapons, enhancing stealth with radar-absorbent materials, and improving real-time battlefield awareness with AI-driven sensor fusion ensure that American forces can strike faster, detect threats sooner, and operate with superior coordination.

Additionally, network-centric warfare improvements, such as joint all-domain command and control (JADC2) and real-time data-sharing, enhance multi-domain operations, allowing the US to maintain an intelligence and decision-making advantage over China’s military.

Survivability is another critical factor. By integrating active protection systems into tanks, directed-energy weapons into naval ships, and AI-driven electronic warfare suites into aircraft, US forces can better counter China’s advanced missile threats, cyber warfare tactics, and mass drone swarms. Additionally, maintaining a robust industrial base through upgrades to existing platforms ensures that production remains scalable and sustainable, unlike China’s military, which relies heavily on state-controlled production with limited battlefield testing of new systems.

By leveraging emerging technologies in a modular, cost-effective manner, the US can remain ahead of China’s growing military without the financial and operational burdens of continuously developing entirely new systems. This strategy ensures that American forces remain agile, lethal, and technologically superior, capable of deterring war and, if necessary, achieving decisive victories in any operational environment.

Joshua Thibert is a Senior Analyst at the National Institute for Deterrence Studies (NIDS) and doctoral student at Missouri State University. His extensive academic and practitioner experience spans strategic intelligence, multiple domains within defense and strategic studies, and critical infrastructure protection. Joshua currently resides in Columbus, Ohio.

Maintaining American Military Primacy Without Breaking the Bank was originally published on Global Security Review.