In response to China’s export restrictions on gallium and germanium, the US government has accelerated a series of interventions aimed at rebuilding secure supply chains for these critical materials.

Rather than pursuing a single large-scale solution, Washington appears to be favouring a portfolio approach, leveraging different types of partnerships with industrial players across jurisdictions to re-establish supply chain capacity for these critical materials outside China.

Earlier this week, Atlantic Alumina (ATALCO) announced that the US Department of War (DoW) has invested US$150M in preferred equity to expand gallium recovery capacity at its alumina refinery in Louisiana.

This is the fourth in a sequence of US-backed initiatives on gallium and germanium over the past 18 months.

1. On 26 August 2025, Korea Zinc announced a memorandum of understanding (MoU) with Lockheed Martin to supply the defence company with germanium, establishing a new recovery circuit at Korea Zinc’s Onsan zinc smelter in Ulsan, South Korea, with a production capacity of up to 11tpy of germanium starting in 2028. This MoU was announced after a USA–Korea summit hosted at the White House. Shortly thereafter, Korea Zinc independently announced plans to construct a gallium recovery circuit at the same facility, capable of producing approximately 15tpy of gallium.

2. On 21 October 2025, the US and Australian governments announced a potential investment in a special purpose vehicle with Alcoa that would, in a JV with Japan Australia Gallium Associates (JAGA), construct a gallium recovery circuit at Alcoa’s Wagerup alumina refinery in Australia. The targeted capacity is expected to be 100tpy of gallium. The final project parameters remain under review, with a final investment decision expected later this year.

3. On 15 December 2025, Korea Zinc announced the proposed acquisition of Nyrstar’s zinc mining and smelting complexes in Tennessee. The plans include the construction of a new large-scale zinc smelter on the existing permitted site at a cost of approximately US$7.4Bn, with a conditional partial investment by the US DoW and Department of Commerce. The proposed smelter is expected to produce approximately 50tpy of gallium and 44tpy of germanium, phased in after the zinc circuit ramps up in 2029.

4. On 12 January 2026, Atlantic Alumina Company announced that the US government, alongside Pinnacle Asset Management, is investing approximately US$450M to expand output and construct a gallium recovery circuit. The planned circuit is expected to produce up to 50tpy of gallium.

When considered together, these four initiatives underscore the urgency underpinning US policy on gallium and germanium. Four separate projects, across multiple jurisdictions, technologies, and timelines, are not indicative of overcapacity by accident but optionality by design.

For niche metals with limited global supply, long lead times, and high concentration risk (China supplies 99% of primary gallium and 70% of germanium), this approach signals a meaningful commitment by policymakers to secure access—even at the cost of overlap and inefficiency.