Forging a North American Future: How Policy Is Powering Critical Minerals Supply Chain
A Pivotal Policy Moment
The global energy transition continues to accelerate demand for critical minerals like cobalt, lithium, and nickel—core components in lithium-ion batteries, grid storage, and clean energy technologies. Yet despite growing urgency, North America remains heavily dependent on overseas processing. China currently controls approximately 94% of global cobalt refining capacity, leaving the region vulnerable to supply disruptions, price volatility, and geopolitical instability.
In response, both the United States and Canada have made critical minerals a long-term strategic priority. U.S. policy efforts began in 2017 with executive actions to reduce reliance on foreign sources and support domestic mining, refining, and recycling. Since then, successive administrations have expanded these initiatives—emphasizing national security, economic independence, and the development of a resilient supply chain through federal support, trade measures, and permitting reform.
Canada has followed a parallel path, focusing on unlocking the country’s mineral wealth through infrastructure investment, streamlined regulatory frameworks, and stronger Indigenous and industry partnerships. Together, these efforts are laying the groundwork for a secure and self-sustaining North American critical minerals ecosystem.
Electra Battery Materials is uniquely positioned within this landscape. As the first near-term cobalt sulfate refinery in North America, Electra offers a transparent, traceable, and ethical solution to meet growing demand—supporting both policy objectives and the market’s need for reliable, ex-China supply.
U.S. & Canada Double Down on Domestic Supply
Over the past several years, both United States and Canada have advanced significant policy measures to secure access to critical minerals and reduce dependency on foreign-controlled processing. While the goals are aligned, the paths taken by each country reflect their unique industrial landscapes and political timelines.
In the U.S., early groundwork was laid during President Trump’s first term. Executive Order 13817 (2017) directed federal agencies to identify and develop a strategy for securing domestic critical mineral supplies. This was followed by Executive Order 13953 (2020), which declared a national emergency and invoked the Defense Production Act to accelerate domestic mining and processing. These policies prompted the development of agency-level strategies focused on exploration, innovation, and recycling.
The Biden administration built on this momentum with the Inflation Reduction Act (IRA), which provided extensive tax credits and funding mechanisms to support battery material supply chains sourced from the U.S. or its trade partners. The Defense Production Act was again used to boost domestic production of key minerals, while the Department of Energy expanded R&D funding and procurement support for refining and recycling initiatives.
Most recently, in a renewed term, President Trump has introduced additional executive orders to fast-track permitting, promote offshore exploration, and further reduce dependence on Chinese imports—raising tariffs on mineral-related products to 55%. New actions have included the formation of the National Energy Dominance Council to oversee minerals strategy and proposed international agreements to secure diversified supply—including minerals deal framework with Ukraine.
Canada’s strategy also takes a comprehensive approach, recognizing that unlocking the value of its critical mineral resources requires more than exploration—it demands investment in infrastructure, regulatory efficiency, and inclusive partnerships. The federal Critical Minerals Strategy, released in 2022, lays out a framework to support the full value chain, from responsible exploration and sustainable extraction to advanced processing and recycling. A key pillar of this strategy is the $1.5 billion Critical Minerals Infrastructure Fund (CMIF), which provides targeted support for clean energy and transportation infrastructure necessary to develop priority mineral corridors—especially in remote and northern regions.
In parallel, Budget 2024 introduced new measures to accelerate permitting timelines and enhance Indigenous participation through the Indigenous Loan Guarantee Program, allowing communities to take equity stakes in critical mineral projects. These efforts are complemented by provincial leadership, particularly in Ontario, where the government has launched a $500 million Critical Minerals Strategy Processing Fund and introduced legislative tools like One Project, One Process to streamline approvals for mining and processing projects. Together, these measures reflect a clear commitment to building a resilient, integrated, and self-sufficient critical minerals supply chain across Canada.
Collectively, these coordinated policy efforts in Canada and the U.S. are laying the groundwork for a fully integrated North American critical minerals supply chain, creating a conducive environment for companies like Electra to scale domestic production and contribute to long-term energy and economic resilience.
North America’s Advantage: Resources, Innovation & Resilience
What sets North America apart is not just its policy ambition—but its foundation of assets that make a resilient, self-sufficient critical minerals ecosystem possible.
Canada’s North and the U.S. interior are home to vast reserves of key battery minerals, including cobalt, lithium, graphite, and nickel. These resources, when paired with growing investments in refining, infrastructure, and workforce development, position the region to take control of its own supply chain. This isn’t a hypothetical—it’s a tangible opportunity to build capacity at home, reduce foreign dependency, and secure long-term access to the materials that will power the global energy transition.
North America also has a legacy of innovation in mining, metallurgy, and clean technology—giving it the tools to lead not just in resource extraction, but in ethical, low-carbon production methods. For communities across Ontario, Quebec, and U.S. states with strategic deposits, this momentum translates to real economic benefits: high-quality jobs, regional development, and new infrastructure that supports long-term prosperity.
As governments and industry align around shared goals, the region is better positioned than ever to build a critical minerals supply chain that reflects its values—transparent, sustainable, and built to last.
What Comes Next: From Momentum to Execution
Policy commitments have created a strong foundation—but execution will define the outcome. For North America to fully realize its critical minerals potential, continued coordination and investment are essential.
Public-private partnerships will play a central role in advancing the full value chain—from extraction and processing to battery materials and end-of-life recycling. Targeted capital deployment into projects, like Electra’s cobalt refinery, will help turn strategic intent into tangible infrastructure that serves both economic and environmental goals.
This is a defining decade for critical minerals. The decisions made today will determine whether North America becomes a leader in clean energy supply chains—or remains dependent on others to meet its industrial needs. The opportunity is clear, the policies are in place, and the market is ready.
At Electra, we’re building what comes next—advancing domestic refining capacity and enabling a transparent, secure, and resilient critical minerals supply chain built right here in North America.