Critical Minerals and the U.S. Clean Energy Transition

The document details the essential role of critical minerals in clean energy technologies, the U.S.'s high import reliance, and the regulatory and economic barriers to domestic production. It highlights the environmental and human rights risks of mining, the potential for secondary recovery and recycling, and recent federal legislative and executive actions aimed at securing supply chains.

• Critical minerals are indispensable for various clean energy technologies: lithium, nickel, cobalt, manganese, and graphite for batteries; rare earth elements like neodymium and dysprosium for permanent magnets in EVs and wind turbines; aluminum for electricity transmission and solar photovoltaics; and platinum, nickel, or iridium for hydrogen production.
• The United States faces significant supply chain vulnerabilities, relying on imports for 100% of 12 critical minerals and 50% or more for another 28 minerals as of 2024. Top exporters to the U.S. include China, Canada, Japan, and South Africa, with China producing 30 of the 50 USGS-listed critical minerals.
• Domestic production in the U.S. is hindered by lengthy regulatory processes, with exploration and discovery permitting taking an average of 16 years. While the U.S. produces 37 of 50 critical minerals, it does not produce gallium or iridium, which are critical for solar cells and hydrogen production respectively.
• Critical mineral extraction and processing cause severe environmental and social externalities, including greenhouse gas emissions, habitat loss, and water contamination. In the U.S., significant deposits of nickel (97%), lithium (89%), and cobalt (68%) are located within 35 miles of Native American reservations.
• Secondary recovery from tailings, coal ash, and desalination brine offers a sustainable alternative to mining. For instance, U.S. coal ash stockpiles are estimated to contain 11 million tons of rare earth elements valued at $8.4 billion, and desalination brine may contain 17,400 tons of lithium.
• The U.S. government has implemented several financial and regulatory measures to secure minerals, including $7.9 billion from the Infrastructure Investment and Jobs Act and tax incentives via the Inflation Reduction Act. Recent 2025 executive orders by President Trump aim to expedite permitting on federal lands and explore deep-sea mining.

APA

Environmental and Energy Study Institute (n.d.). Critical Minerals and the U.S. Clean Energy Transition. https://www.eesi.org/files/IssueBrief_Critical_Minerals_July_2025.pdf

Chicago

Environmental and Energy Study Institute. Critical Minerals and the U.S. Clean Energy Transition. n.d. https://www.eesi.org/files/IssueBrief_Critical_Minerals_July_2025.pdf.

Wikipedia

{{cite report |author=Environmental and Energy Study Institute |title=Critical Minerals and the U.S. Clean Energy Transition |url=https://www.eesi.org/files/IssueBrief_Critical_Minerals_July_2025.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{environmentalandenergystudyinstitutendcritical, author = {{Environmental and Energy Study Institute}}, title = {{Critical Minerals and the U.S. Clean Energy Transition}}, institution = {Environmental and Energy Study Institute}, url = {https://www.eesi.org/files/IssueBrief_Critical_Minerals_July_2025.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }