SAFE CALLS FOR BOLD ACTION ON ENERGY POLICY: Securing America’s Future Energy, or SAFE, released a report emphasizing the need for robust policies to safeguard the U.S. energy, mineral, technology, and supply chains to protect national security.
The report, “The Pillars of Power: A Strategy for Security and Industrial Resiliency,” said that decades of offshoring, foreign competition, and short-term policies have led to declines in the U.S. industrial and technology sectors. As a result, it said, the U.S. is now more reliant on countries like China for critical resources like minerals and technology.
SAFE’s report recommends four pillars:
- Expand and Secure Supply of Minerals and Materials through expanded domestic production as well as multilateral agreements and strategic, coordinated deployment of trade barriers.
- Satisfy Energy Security Needs and embrace energy abundance by supporting all forms of American energy, accelerating permitting reform, and aggressive expansion and modernization of energy infrastructure.
- Promote New Technologies that Maximize Efficiency and Diversification by supporting domestic innovation, leveraging technology to use energy more efficiently, and protecting key technologies from foreign interference.
- Increase Manufacturing Capacity through an emphasis on dual-use technologies, updated DOD procurement capabilities, stockpiling, supply chain mapping, and more.
The U.S. has been significantly reliant on China for materials and minerals that help to build products in the energy and defense sectors. Many have raised concerns that this reliance poses a threat to national security.
SAFE hosted a webinar today featuring several experts from the defense and energy sectors, including Michael Dunne, the CEO of Dunne Insights, a global EV advisory firm. Dunne said the challenges to the automotive sector are “here and now.” He said that just a few weeks ago, auto manufacturers were unable to obtain advanced magnets due to China’s imposing export restrictions.
“It isn’t something far off on the horizon that we have to worry about. It’s immediate,” Dunne said. He noted that batteries are not only essential for EVs but also for humanoid robots, drones, navigation systems, and other defense applications.
“We don’t all need to buy EVs. If 20% of the market is EVs, that’s enough to justify investments in batteries. We’re talking about 3 million cars a year, one in five,” Dunne said. “We need those EVs to justify the investments in batteries. Without those batteries, we’re back to square one, totally vulnerable and subject to the whims of supply out of China. That’s reality today.”
Read the full newsletter: “Daily on Energy: OBBBA cost estimate, SAFE calls for action, and China plans mega-dam.”
