The United States and the European Union have signed a memorandum of understanding committing them to closer cooperation on the extraction and processing of critical minerals, amid shared concerns over supply chain vulnerability. US Secretary of State Marco Rubio and EU Trade Commissioner Maroš Šefčovič signed the agreement in Washington, with Rubio warning against over-reliance on "just one place" — a clear reference to China, which currently processes more than 80% of all rare earth metals sold globally. The deal, which envisages joint action on subsidies, minimum prices, and offtake agreements, represents a rare acknowledgment by the Trump administration of the EU's strategic role; similar accords have also been reached with Mexico, Japan, and Australia. Rare earth metals are essential to manufacturing in sectors ranging from electric vehicles and renewable energy to defence and digital technology.