How will mineral and mining legislation affect United States businesses in the next three to five years?
It is highly likely that mineral and mining legislation will hamper the US business sector over the next three to five years.
- Re-opening dormant mines will likely remain the most attractive method to procure strategic minerals domestically
- Mining industry must adhere to over 80 laws through 20 agencies
- Opening mines in the US takes, on average, seven years
- It is likely that the effects of the Dodd-Franks bill on conflict minerals will be far-reaching, across many industries.
- Dodd-Franks legislation creates a competitive disadvantage for US public industries
- US industries could incur between USD 3 and 4 billion in implementing Dodd-Franks legislation
- It is likely that passage of US Congressional bills relating to strategic and rare earth minerals would improve the job market; however it is unlikely legislation will be implemented
- Only 29 percent of bills sent to the floor for a vote pass both the US Senate and Congress
- Ten strategic mineral-related bills have been introduced to the 112th Congress
- In spite of growing non-Chinese supply of minerals, US businesses are likely to remain heavily dependent on Chinese rare-earth sources.
- A number of strategic minerals, including Rare Earths, are 100 percent imported
- China supplies 79 percent of the rare earths used by US industries, increasing trade tensions