GM's Barra Joins Trump for Critical Minerals Reserve Announcement, Stressing Supply Chain Resilience
General Motors CEO Mary Barra was present in the Oval Office on Monday as President Donald Trump announced a major federal initiative designed to bolster the resilience of American manufacturing supply chains. The move comes amid ongoing global competition for critical materials and follows Barra's absence from a previous White House event in December concerning fuel efficiency standards.
The new plan, dubbed "Project Vault," proposes a $12 billion strategic reserve for critical minerals, modeled after the nation's petroleum stockpile. The reserve is intended to shield key industries, including automotive, from potential shortages. The funding would combine roughly $2 billion in private investment with $10 billion from the U.S. Export-Import Bank.
"Having a resilient supply chain is critical for our nation and it's critical for all industries, especially the auto industry," Barra stated after being called upon by the President. "It not only supports U.S. manufacturing, it supports job creation. It also supports the consumer."
The initiative addresses vulnerabilities exposed during the COVID-19 pandemic and subsequent global shutdowns, which caused severe shortages of semiconductors and other components reliant on rare-earth minerals. With China dominating global processing of these materials and tightening exports, the push for a domestic buffer has gained urgency among U.S. automakers.
Trump hailed the long-discussed project as "an amazing thing." Barra, thanking the president for his efforts, expressed optimism about GM's outlook, stating the business remains "very strong" and voicing excitement for 2026.
However, the announcement contrasts with recent financial challenges for the Detroit automaker. GM reported a net loss exceeding $3 billion for the fourth quarter of 2025, citing massive write-downs on unused electric vehicle manufacturing equipment and restructuring costs in China. The company absorbed nearly $8 billion in lost EV investments over the last two quarters of the year.
Reactions & Analysis:
"This is a necessary, if overdue, step for long-term industrial security," said Michael Chen, a supply chain analyst at Beacon Strategic Advisors. "Automakers have been operating on a knife's edge since the chip shortage. A coordinated national stockpile for minerals could prevent future production cliffs."
"Where was this planning five years ago?" asked Rebecca Vance, a former plant manager and automotive industry blogger, with palpable frustration. "This feels like a political photo-op while the house is still smoldering. GM is taking multi-billion dollar losses on its EV bets, and a stockpile won't fix a flawed transition strategy. It's a band-aid on a structural wound."
"The government and industry aligning on supply chain risk is a positive signal," noted David Park, a professor of trade policy at Carnegie Mellon. "The real test will be execution—sourcing, rotating the reserve, and ensuring it doesn't distort markets. The geopolitical dimension, reducing reliance on a single source for processing, is its most significant aspect."
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This article originally appeared on Detroit Free Press.