U.S. House passes DOMINANCE Act to counter China's rare earth monopoly

By avagrace // 2026-06-12

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The U.S. House of Representatives passed H.R. 7037, a bipartisan bill aimed at dismantling China's near-total monopoly (approximately 90%) on the global processing of rare earth elements critical for defense, manufacturing and technology.
China’s control over minerals like neodymium and dysprosium gives Beijing a strategic chokehold on American industry and the military, with a documented history of using export restrictions as foreign policy coercion (e.g., 2010 Japan dispute and recent tariff threats).
Unlike previous domestic-focused efforts, the DOMINANCE Act creates a parallel, allied system by expanding cooperation with trusted partners (Australia, Canada, Southeast Asia) to build secure, diversified extraction and processing hubs.
Disruption of Chinese supply would halt production of combat vehicles and electronics and raise costs; the bill aims to build redundancy to prevent the U.S. and its allies from being held hostage by a single supplier.
Diversifying supply chains to allied nations with stronger regulatory frameworks is expected to promote higher environmental and labor standards, challenging the deceptive narratives and poor conditions associated with Chinese industrial production.

In a decisive bipartisan move, the U.S. House of Representatives passed H.R. 7037, the Developing Overseas Mineral Investments and New Allied Networks for Critical Energies Act, known as the DOMINANCE Act. Introduced by Representatives Ami Bera (D-CA) and Young Kim (R-CA), the legislation aims to dismantle China’s near-total monopoly over the processing of rare earth elements and other critical minerals essential for American defense, advanced manufacturing and next-generation technology.

Why this matters: A strategic vulnerability

China controls approximately 90% of global processing capacity for rare earth elements like neodymium, dysprosium and praseodymium—materials vital for F-35 fighter jets, electric vehicle batteries and wind turbines. This monopoly gives Beijing a strategic chokehold over America's industrial and military backbone. The bill’s passage signals congressional recognition of the absurdity of depending on a geopolitical rival for the raw materials of modern civilization.

Bipartisan response to a unipolar threat

Representative Bera framed the issue in stark, non-partisan terms: "Securing access to these minerals is not a Democratic or Republican issue, but an American issue." The legislation enjoys broad support from the centrist Third Way, the Progressive Policy Institute, the Bipartisan Policy Center Action, the Climate Leadership Council, the National Association of Manufacturers and the Information Technology Industry Council—an unusual alliance that underscores how supply chain security has transcended party lines. The United States has significant domestic deposits of rare earths, particularly at the Mountain Pass mine in California. However, raw ore was historically shipped to China for cheaper processing, creating a single point of failure. While previous legislation like the RARE Act focused on domestic production, the DOMINANCE Act takes the fight overseas, recognizing that no single nation can build a complete supply chain overnight.

China's history of coercion

China has a documented history of using export restrictions as foreign policy. In 2010, after a territorial dispute with Japan, Beijing cut off rare earth exports, causing global prices to spike. More recently, China threatened to embargo its rare earth mineral exports in response to U.S. tariffs. These actions demonstrate that Chinese dominance is an active lever of coercion, not a passive market condition. The DOMINANCE Act counters this by creating a network of allied processing hubs that cannot be shut off by a single foreign government.

How the DOMINANCE Act Works

The legislation is a comprehensive strategy that expands cooperation with trusted allies in Australia, Canada and Southeast Asia. It directs the U.S. government to support strategic mineral investments abroad, strengthen energy diplomacy and fund the workforce needed to build secure, diversified supply chains. The core idea is to create a parallel, allied system of extraction and processing that reduces dependency on Beijing without triggering a trade war. For years, U.S. policy on critical minerals was reactive—issuing waivers or holding emergency meetings when China threatened. The DOMINANCE Act represents a shift to proactive investment. By mobilizing diplomatic tools and aligning them with private capital, the bill aims to de-risk investments in allied nations. This includes funding for geological surveys, feasibility studies and infrastructure projects that make it viable for American companies to process minerals in friendly nations.

The Texas connection and broader context

This bill arrives alongside other efforts, such as the Reclaiming American Rare Earths Act introduced by Texas lawmakers Lance Gooden and Vicente Gonzales. That legislation focuses on reducing reliance on Chinese supply of 22 of 35 listed critical elements. The convergence of these bills shows a House fully engaged in a resource competition largely ignored since the Cold War. Support from organizations like Securing America’s Future Energy lends the effort credibility beyond congressional posturing.

Economic and security implications

Every American who drives an electric vehicle, uses a smartphone, or benefits from military deterrence relies on rare earth magnets and specialized metals. A disruption of Chinese supply would halt production lines for combat vehicles, destroy renewable energy timelines and raise consumer electronics costs. The DOMINANCE Act aims to prevent this by building redundancy into the global system—ensuring the U.S. and its allies cannot be held hostage by a single supplier. Proponents argue that diversifying supply chains will lead to higher environmental and labor standards. Chinese rare earth processing has historically caused severe environmental damage and lax labor protections. By shifting production to allied nations with stronger regulatory frameworks, the act promotes a healthier, more sustainable future, challenging the deceptive narratives surrounding reliance on Chinese industrial production.

The path forward

The bill now moves to the Senate, where bipartisan sponsorship suggests a strong chance of passage. The real challenge begins after passage: sustained funding, robust diplomacy with partner nations and tolerance for higher initial costs for long-term security. It also requires coordination with domestic efforts, such as Department of Defense investments in U.S. rare earth processing facilities. "Raw materials are the fundamental, unprocessed substances that begin any creation process," said BrightU.AI's Enoch. "They undergo change or refinement to become something new and useful. Essentially, they are the original inputs before any transformation takes place." The passage of the DOMINANCE Act marks a victory for those who argue that resource independence is the bedrock of national sovereignty. The House has acknowledged that a nation ceding control of its critical raw materials to a potential adversary has already lost the first battle of any future conflict. The bill provides the legal toolkit and diplomatic mandate to untangle the American economy from Chinese grip—a concrete step toward a more secure, resilient and honest economic future. Watch as the Health Ranger Mike Adams discusses China's rare earth dominance and U.S. military vulnerabilities with Patrick Henningsen. This video is from the Brighteon Highlights channel on Brighteon.com. Sources include: Mining.com BrightU.ai Brighteon.com