The US needs to secure a supply of rare earth elements independent of China — but Washington's Middle East policy is now triggering pushback on a $96 million (€84 million) rare earth deal in Muslim-majority Malaysia.
In March, the US Department of Defense (DoD) signed a four-year deal with Australian mining firm Lynas to obtain 17 metals known as rare earths. These elements are at the core of modern industrial production and used for everything from smartphones and electric cars to cutting-edge weapons systems.
The strategic deal, however, hinges on Lynas' main processing plant in Gebeng, a gritty industrial town hugging the east coast of mainland Malaysia — the largest facility of its kind outside of China.
Malaysia's government pressured over US-Israel ties
The news of the deal has prompted strong backlash in Malaysia, which has a long record of championing Palestinian statehood and rebuking Israel over its actions in Gaza and the West Bank.
