President signs executive order on critical minerals

On March 20, President Donald Trump signed an executive order to expedite domestic mineral production, invoking Section 301 of Title 3 of the United States Code. The order positions the new National Energy Dominance Council (NEDC), chaired by Secretary of Interior Doug Burgum, to take a leading role overseeing the progress associated with the order.

In his “Immediate Measures to Increase American Mineral Production” executive order, the president writes, “The United States was once the world’s largest producer of lucrative minerals, but overbearing federal regulation has eroded our nation’s mineral production. Our national and economic security are now acutely threatened by our reliance upon hostile foreign powers’ mineral production. It is imperative for our national security that the United States take immediate action to facilitate domestic mineral production to the maximum possible extent.”

“Mineral” in the order includes those on the Department of Interior’s list and also specifically mentions uranium, copper, potash, gold and any other element, compound or material as determined by the NEDC chair.

The order calls for a number of actions to happen within 10 to 45 days of Trump signing the order, which includes the head of each executive department and agency involved in permitting mineral production projects providing the NEDC chair a list of all mineral production projects that have submitted a plan of operations, a permit application or other application for approval to an agency so priority projects that can be immediately approved or for which permits can be immediately issued can be identified to the administrator of the Small Business Administration preparing and submitting through the recommendations for legislation to enhance private-public capital activities to support financings to domestic small businesses engaged in mineral production. 

"For far too long, America has been forced to turn to adversarial nations to meet our critical mineral needs,” says House Committee on Natural Resources Chairman Bruce Westerman, a Republican from Arkansas. “President Trump is leading us to unleash our domestic mineral wealth and mine right here in America once again. With this executive order, President Trump is bolstering our national and mineral security and ensuring our future is tied to a secure, safe and responsible domestic mineral supply chain."

The order was supported by the Aluminum Association, Arlington, Virginia, and the Copper Development Association, McLean, Virginia.

“This executive order lays the groundwork to fortify the nation’s critical materials supply chain while fostering ongoing industry investment and innovation," Aluminum Association President & CEO Charles Johnson says. "The Aluminum Association welcomes this action, which will help improve U.S. material self-sufficiency and minimize the need to import critical minerals from nonmarket or adversarial countries. As one of only 11 mineral commodities included on the Department of Defense and all other government critical materials lists, aluminum is essential to modern life—in everything from cars and cans to tanks and fighter jets. Increasing upstream aluminum production in the United States will support growing jobs and investment in the industry further downstream.”

The Copper Development Association’s (CDA’s) President and CEO Adam Estelle, responded to the executive order by saying, “Securing a reliable domestic supply of copper is both a national security priority and an economic necessity. We thank President Trump for his decisive action which highlights the urgent need to modernize permitting and strengthen U.S. copper production.

“As the backbone of essential energy systems, resilient infrastructure and advanced defense technologies, copper is critical to America’s future. Meeting the nation’s rapidly growing demand will require an all-of-the-above strategy—including expanded domestic production and refinement, enhanced recycling efforts, continued imports from reliable trade partners and keeping more readily recyclable copper scrap in the country.”

Estelle concludes, “To build long-term supply chain resilience, copper must also be formally recognized for its strategic importance by adding it to the USGS Critical Mineral List. We commend the administration for taking meaningful steps in the right direction and urge continued action to give copper the credit it deserves.”

Environmental groups, including Eartjustice, headquartered in San Francisco, have been critical of the order.

“This executive order is yet another effort to sell out the American people and our public lands to industrial polluters," Earthjustice Senior Legislative Representative Blaine Miller-McFeeley says. "Mining operations on public lands already operate under a sweetheart deal, and today’s order will make it even easier for mines to sidestep environmental reviews and harm vulnerable communities, lands, and critical water sources.

"If the Trump administration wants to truly create sustainable and secure mineral supply chains, it should incorporate strong due diligence and environmental standards into federal law and regulations while actively engaging in upfront consultation with impacted communities. More of the same handouts to a mining industry that the Environmental Protection Agency says is the most toxic industry in America without reform only perpetuates a broken status quo.”