Australia will partner with the US and Japan to combat one of biggest resources issues in the world today, which is China's dominance over the mining and processing of heavy minerals.

Lynas is the world's only major rare earth producer outside China, controlling 15 percent of the market to Beijing's 85 percent.  The Australian company is developing a processing facility in Texas with the Blue Line company; operations are expected to begin in 2021.  Japan is Lynas' largest client, and is throwing its support behind the venture.

"In fact, the only heavy rare earth separating plants in the world are located in China," said Lynas CEO Amanda Lacaze in an interview with Japanese media.  "But heavy rare earths are essential."

The importance of rare earth metals cannot be overstated.  They're used in electronics, computers and mobile phones, electric cars, and high end defense kit such as drones, radar, and missile defense systems.

China spent a lot of time locking up supplies of rare earth metals with an aggressive campaign to win over African leaders, and now has near-total control of the market.  Beijing used its control to mess with Japan during 2010 when the two countries were spatting over the Senkaku Islands, and there have been worried that it would again during its current trade dispute with the United States. 

A new processing facility outside China would give Japan new independence to exploit its potentially world-changing discovery of 2018:  A study in the journal Nature (.pdf link) reported that Japan found a 16 million ton cache of rare earth metals in its territorial waters near off of Minamitori Island.  There's enough yttrium to meet the global demand for 780 years, dysprosium for 730 years, europium for 620 years, and terbium for 420 years - all without Beijing setting the price.