A Rare Earth Element (REE) boom in Australia is set to boost the global shift to zero emission trucks and trailers.
New analysis shows the nation could soon overtake the US to become the world’s second-largest supplier of REEs.
According to Australia Rare Earth Mining Boom: Breaking China’s Monopoly, a report by global intelligence firm, Earth Rarest, a new wave of Australian mining and processing projects could supply up to 20 per cent of global ex-China demand for neodymium and praseodymium (NdPr).
These materials are essential for electric drivetrains, wind turbines and advanced manufacturing, powering the components driving the clean transport revolution.
While China still controls around 70 per cent of global REE supply, Australia’s capacity is rising fast through government-backed initiatives.
Lynas Rare Earths is set to produce 17,500 tonnes of total Rare Earth Oxide (REO) output this year, while the country’s first domestic refinery, the Eneabba project in Western Australia, is due online in 2026.
Arafura’s Nolan’s Project in the Northern Territory and Browns Range in Western Australia are also advancing, with offtake deals already secured with Hyundai, Kia and Siemens which signals growing supply chain confidence beyond China.
“Demand for rare earths is soaring as the global EV and clean energy markets accelerate,” said Earth Rarest spokesperson, Russell Gous.
“Australia is making strong progress and is well placed to lead the Western world in supplying critical materials for the next generation of technology and energy systems.”
As heavy duty fleets move toward electrification, Australia’s growing rare earth sector could be pivotal in ensuring reliable access to the materials underpinning cleaner, more efficient transport.
Infrastructure developments are also supporting the transition.
The Australian Renewable Energy Agency (ARENA) is funding a shared electric truck charging hub in Melbourne, providing critical support for fleets adopting zero-emission technologies. Combined with new domestic refineries and integrated projects like Arafura’s Nolans Project, these initiatives demonstrate a growing local capacity not only to mine but also to process and deliver the materials essential for heavy-duty electrification.
The Australian government is actively supporting the development of a critical minerals reserve, with a proposed $1.2 billion (approx. $782 million USD) fund aimed at ensuring stable global supply lines amid geopolitical tensions. This initiative underscores Australia’s commitment to becoming a reliable supplier of REEs to its allies.
In other news, two industry partners are developing an integrated solar solution for electric trailer refrigeration units.
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