cross-posted from: https://lemmy.sdf.org/post/45082130

Chinese companies are the largest shareholders in two Australian mines producing minerals vital for Beijing’s hypersonic missiles and nuclear programs, helping it overcome “severe challenges” to accessing key resources.

In a rare admission of its vulnerability, China says it depends on imports for its supply of zirconium, a little-known critical mineral. Australia is the world’s largest producer and supplies China with 41 per cent of its imports.

Not only did Australian regulators allow Beijing-backed companies to become major shareholders in the two Western Australia mines, the federal government even gave one of them a $160 million soft loan to help it into production.

Australia is supplying these raw materials vital for China’s military build-up, while at the same time signing up to be a partner of choice for the United States as it seeks to break Beijing’s stranglehold over the processing of rare earths and critical minerals.

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