WASHINGTON — President Trump ordered new restrictions on the export of critical mineral scrap, White House officials said. The move aims to strengthen domestic supply chains for key U.S. industries, including electric vehicles, advanced electronics and defense applications.
The executive order targets materials vital for high-tech manufacturing, including lithium, cobalt, nickel and rare earth elements. By limiting scrap exports, the administration seeks to ensure a stable, affordable supply for U.S. companies and reduce their reliance on foreign sources for processed materials.
This policy presents a clear catalyst for U.S. manufacturers that consume these minerals. Tesla, trading at $308.85, stands to gain from improved domestic supply chain security for its battery production. A more reliable, lower-cost supply of battery inputs could improve production efficiency and reduce geopolitical risk for the EV giant. Apple, trading at $333.43, also relies on these minerals for its electronics and could see benefits from a more secure domestic supply.
U.S. companies involved in domestic recycling and processing of critical minerals will find increased demand for their services. This includes firms focused on extracting value from electronic waste and industrial scrap. The Nasdaq Composite rose 2.8 percent today to 25,122, partly reflecting optimism around domestic manufacturing initiatives.
The order creates a competitive advantage for U.S. firms over international counterparts, particularly those in Asia and Europe that rely on global scrap markets. This could encourage further domestic investment in mineral processing and advanced manufacturing facilities.
The Department of Commerce is expected to issue detailed regulations outlining specific minerals and export controls within the next 90 days. Those regulations will clarify the order's scope and enforcement mechanisms, including potential penalties for non-compliance. Initial impacts are likely to appear in fourth-quarter earnings reports.
