Trump's order may benefit Canadian mining companies

U.S. President Donald Trump recently signed an executive order to boost domestic mining in the United States. The order aims to reduce the country's reliance on China for rare earth elements and critical minerals. This has raised expectations among Canadian mining experts who believe that Canada could benefit from these developments. Trump's order uses presidential emergency powers to enhance mineral production. The goal is to strengthen national and economic security. Some experts see this as a response to China's control over global mineral supply chains. However, the broad language of the order could allow the government to accelerate various mining projects beyond just critical minerals. Pierre Gratton, the head of the Mining Association of Canada, commented on the potential impact. He noted that the U.S. has only opened five major metal mines in the last 30 years. He doubts that Trump's initiatives will significantly change the situation before his term ends. Gratton emphasized that the U.S. will still depend on imports for many materials, despite efforts to expand domestic production. This isn't the first time Trump attempted to promote U.S. mining. In his first term, he issued policies aimed at increasing domestic mineral production. The U.S. has continued these efforts, often looking to Canada for support. For instance, in 2024, the U.S. Department of Defense began financing a cobalt refinery project in northern Ontario. Experts believe that Trump's latest order could attract investment in Canadian mining projects, such as the proposed cobalt refinery. However, trade and tariff issues remain a concern. Jeff Killeen from the Prospectors & Developers Association of Canada emphasized that any expansion in U.S. processing capacity depends on smooth cross-border trade. Mark Selby, from Canada Nickel Co. Inc., pointed out that the U.S. needs Canada due to a lack of domestic mineral resources. He added that the U.S. will continue to partner with Canadian projects to secure minerals like nickel and cobalt, especially given the ongoing challenges with trade relations.