U.S. President Donald Trump and Australian Prime Minister Anthony Albanese shake hands outside the West Wing of the White House on Monday, October 20, 2025 in Washington, DC, USA.
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Shares in Australia’s largest critical metals and rare earths companies soared on Tuesday after the announcement of a major minerals deal between Washington and Canberra worth up to $8.5 billion.
The agreement, signed by US President Donald Trump and Australian Prime Minister Anthony Albanese on Monday, includes funding for several projects aimed at expanding supplies of key materials used in defense manufacturing and energy security.
linus rare earthAustralia’s largest rare earths producer by market capitalization jumped about 4.7% in early Asian trading. mineral sand miner dolphin resources Over 9% progress despite being a lithium producing country Pilbara Minerals Approximately 5% added.
Other small rare earth mining companies also made profits. VHM While it has increased by about 30%, northern minerals It exceeded 16%. Meanwhile, Latrobe Magnesium, Australia’s main producer of the important metal magnesium, rose nearly 47%.
Listed on NYSE alcoholis developing a project to recover and refine the metal gallium in Western Australia, which has been identified as one of two priority projects under the new minerals trade. Washington plans to make an equity investment in the initiative.
Alcoa shares, which are also traded on the Australian Stock Exchange through depositary receipts, rose nearly 10%.
Rare earths and critical metals are essential to high-tech products such as electric vehicles, semiconductors, and defense equipment.
China, the world’s leading producer of rare earths and many other critical minerals, is tightening export controls on raw materials and accelerating international efforts to diversify global supply chains amid a trade war with the United States.
Albanese said the two countries would each commit $1 billion over the next six months to “ready-to-go” projects.
However, a White House fact sheet later described the agreement as a “framework”, saying Washington and Canberra would invest more than $3 billion in significant mineral projects over the same period.
The White House also said the U.S. Export-Import Bank has issued seven letters of interest to raise more than $2.2 billion, with total investments potentially reaching up to $5 billion.
