Two agreements announced within a week strengthen the position of South Korea’s POSCO Future M (POSCO) – the largest non-Chinese-owned anode producer – as a supplier of synthetic graphite anode active material (AAM), as US and European rules push buyers away from China. 

US defence suppliers have just over two months to prove compliant rare earth supply chains before Defense Federal Acquisition Regulation Supplement (DFARS) restrictions extend to the full mine-to-magnet chain on 1 January 2027. Domestic and allied rare earths separation capacity will not meet demand by that deadline. Existing Department of War (DoW) restrictions on rare earth magnet and tungsten purchases from China are to be expanded from where materials are melted or produced to mining, refining, and separation from 1 January 2027. The rules were first set out in 2021, but the deadline for implementation is approaching. Those who fail to comply risk liabilities or contract termination.

MPs warn the UK government cannot demonstrate it passes any of the ten tests they say are needed for secure critical mineral supply chains in a report published 5 November by the House of Commons Business, Innovation, Science and Trade Committee. Benchmark’s Chief Operating Officer Caspar Rawles gave evidence as an expert witness in which refining is identified as the key chokepoint for critical mineral supply chains and recycling an opportunity for the UK. “Critical minerals are the alpha of the new economy,” said Committee chair Liam Byrne. “We cannot re-arm Britain, build AI or deliver net zero unless we secure the minerals these technologies depend on.”

As supply chains become an increasingly geopolitical topic, there has been a rise in investments into defence-oriented battery cell production facilities especially in the US.