7am The cost of Trump's critical minerals ‘deal’
Oct 29, 2025
In this discussion, Professor Susan Park, a Global Governance expert at the University of Sydney, dives into Australia’s $13 billion deal with Trump over critical minerals. She outlines the deal’s framework and concerns about environmental impacts and health risks. While the agreement aims to challenge China’s control, questions arise regarding who truly benefits and whether Australia can build its own processing capacity. Park emphasizes the geopolitical motives, warning that fast-tracking permits could compromise oversight and create long-term challenges for the nation.
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It's A Policy Framework, Not A Treaty
- The agreement is a common policy framework, not a binding treaty or law change.
- It commits Australia and the US to cooperate on investment, permitting and price supports without altering domestic legal frameworks.
China Controls Processing, Not Just Mining
- China dominates processing of many critical minerals, creating supply vulnerability for others.
- Restrictions by China on exports and buyers have driven a global scramble for alternative sources and processing capacity.
Refining Creates Toxic, Radioactive Waste
- Refining rare earths produces highly toxic and sometimes radioactive waste that has caused severe local health harms.
- China's earlier cleanup raised costs fivefold, showing environmental controls can suddenly reshape markets.