President Donald Trump officially unveiled Project Vault at the White House, describing it as a $12 billion strategic reserve for critical minerals. “We never want to go through what we went through a year ago again,” Trump said, according to Bloomberg, referring to trade tensions with China.

The initiative combines around $2 billion in private capital with a $10 billion loan from the U.S. Export-Import Bank.

A shield for American industry

Project Vault is designed to function similarly to the Strategic Petroleum Reserve, but instead focuses on rare earths and critical minerals such as gallium and cobalt, which are essential for a wide range of technology products.

According to Bloomberg, more than a dozen companies have already committed to participating, including General Motors, Stellantis, Boeing, Corning, GE Vernova, and Google. GM CEO Mary Barra was present at the Oval Office announcement. Commodity traders Hartree Partners, Traxys, and Mercuria are expected to handle procurement.

Protection against price volatility

Under the system, participating manufacturers agree to purchase materials at a fixed price and later buy them back at the same price. Project Vault will acquire and store the raw materials, while companies can draw from the reserves as needed and are required to replenish them afterward. In the event of major supply disruptions, participants would gain access to the full stockpile