Securing the Supply Chain: A Survey of Contrasting Global Approaches to Critical Minerals Strategic Reserves

What you need to know

• The US's US$12 billion Project Vault is now operating. On 23 September 2026, two commodity traders each committed US$500 million to the reserve for the supply of critical minerals.
• Project Vault is a physical stockpile financed by industry and backed by US-EXIM. Manufacturers pay for access to stock, and traders source and hold it.
• Australia's A$1.2 billion Critical Minerals Strategic Reserve is scheduled to be operational by the end of 2026. It is primarily a price-support model, using offtakes, forward contracts and price floors, with antimony, gallium and rare earths first.
• The EU, Japan, South Korea and Canada each use different models, ranging from joint purchasing and long-running stockpiles to equity-backed offtake rights.

What you need to do

• Prepare to deal with governments as commercial counterparties, as they increasingly act as buyers, financiers and offtakers.
• Review your offtake strategy so that reserve arrangements fit with your existing contracts and financing terms.
• Know where the risk sits: look closely at pricing, specifications, take-or-pay terms and termination rights.
• Explore funding options in Australia, the US, the EU and Canada.

The United States has moved its US$12 billion strategic critical minerals reserve, known as Project Vault, into its operational and procurement phase, with two global commodity traders committing US$1 billion of critical minerals to VaultCo. Australia's A$1.2 billion reserve is promised for the second half of 2026. As governments move from policy to implementation, we compare how six jurisdictions are building their critical minerals reserves, and what that means for producers, traders and offtakers.

Why now

Critical minerals underpin defense materiel, high-tech manufacturing and the energy transition. China's 2025 export controls on gallium, germanium, antimony and rare earth processing technology have turned long-discussed supply chain risks into real commercial disruption. Governments are no longer just promoting these markets. They are now buying, financing and holding stock themselves.

On 23 September 2026, two major global commodity traders each committed US$500 million to VaultCo, the operating entity of Project Vault. Project Vault is a US$12 billion public-private partnership backed by the Export-Import Bank of the United States (US-EXIM). Other countries have announced or already run their own reserves, but the models differ widely. The US is building a physical stockpile financed by industry. Australia's reserve is primarily a market-making and price-support mechanism. Other countries and regions – such as the EU, Japan, South Korea and Canada – have each taken a different approach again. The structure of each model will decide where the commercial risk falls, and which contracts market participants will be asked to sign.

Authors: Gaelan Cooney, Partner and Natalie Doray, Graduate.