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Trump’s Greenland Mineral Policy Move Curtails China’s Arctic Ambitions in 2024

Trump’s Greenland Mineral Policy Move Curtails China’s Arctic Ambitions in 2024

Published:
2026-01-24 10:41:02
24
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In a strategic play for Arctic dominance, former U.S. President Donald Trump’s push for Greenland’s mineral rights has thrown a wrench into China’s rare earth ambitions. With Greenland holding the world’s eighth-largest rare earth reserves, the U.S. is leveraging security concerns to lock out competitors—especially China, which has been flexing its rare earth monopoly as a geopolitical weapon. This article dives into the high-stakes resource battle, the frozen Kvanefjeld project, and why TRUMP insists this isn’t about mining but "pure security." Buckle up for a deep dive into the icy geopolitics of rare earths.

Why Is Greenland the New Front in the U.S.-China Rare Earth War?

Greenland isn’t just icebergs and polar bears—it’s sitting on roughly 1.5 million metric tons of rare earths, ranking eighth globally. These metals are the lifeblood of everything from F-35 fighter jets to Tesla batteries, and China currently controls 80% of global supply. Trump’s CNBC interview dropped a bombshell: "They’ll be at the Golden Dome, they’ll care about mineral rights—and so will we." The unspoken "they"? China. Washington’s move here isn’t just about resources; it’s about breaking Beijing’s stranglehold on critical supply chains. Remember when China threatened to cut rare earth exports during the 2019 trade war? Yeah, that’s why this matters.

How Did the Kvanefjeld Project Become a Geopolitical Ice Cube?

Picture this: A massive rare earth deposit in southern Greenland (third-largest on land globally) gets frozen—not by glaciers, but by politics. The Kvanefjeld project, partly backed by China’s Shenghe Resources, hit pause in 2021 after Greenland banned uranium mining. Now it’s tangled in lawsuits while the U.S. circles. "If America secures mineral access now, it could permanently block China from these resources," warns Ryan Castilloux of Adamas Intelligence. Meanwhile, New York-based Critical Metals just got a $120M financing nod from the U.S. Export-Import Bank for its Tanbreez project—another rare earth jackpot. Their stock soared 21% on the news. Coincidence? Hardly.

Is Trump Really "Not Interested" in Mining? Decoding the Security Play

At Davos, Trump dropped this gem: "I want Greenland for security—period. We’ve got so many rare earths we don’t know what to do with them." Pentagon contracts with MP Materials (America’s top rare earth firm) back his claim—for now. But here’s the kicker: Greenland’s brutal logistics (think importing workers and $20k/ton shipping costs) make mining a money pit. As Trump quipped, "You’d need to drill through 25 feet of ice—who’d want that?" Exactly. This isn’t about immediate profits; it’s about denying China Arctic footholds as polar ice melts open new shipping routes by 2030.

What’s Next in the Arctic Resource Cold War?

Watch two chess moves: First, whether Biden’s team fast-tracks Tanbreez permits to counter China’s 2023 "Arctic neighbor" claims. Second, if Greenland’s new government (elections due October 2024) lifts the uranium ban. One thing’s clear—the U.S. is playing the long game. As White House rep Anna Kelly stated, any Greenland deal WOULD achieve strategic goals "permanently at minimal cost." Translation: Pay pennies today to avoid a Chinese monopoly tomorrow. Smart? Absolutely. Icy? Literally.

FAQs: Your Burning Questions Answered

Why does China care about Greenland’s rare earths?

China dominates 80% of global rare earth processing. Greenland’s untapped reserves (especially heavy rare earths used in missiles) could break Beijing’s monopoly.

How much rare earth does Greenland actually have?

USGS estimates 1.5M metric tons—enough to supply global demand for 15+ years. Kvanefjeld alone holds 1M tons.

Could Greenland’s mining ban be reversed?

Possible after 2024 elections. Current polls show 52% support limited mining if environmental safeguards exist.

|Square

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