The United States of America is deepening their bet on the future of domestic critical minerals and commodities. And they are putting up hundreds of millions of dollars to do it.
What’s happening:
- The United States of America has officially launched a new $250M USD fund known as Pax Silica Fund to back allied projects in semiconductors, critical minerals and artificial intelligence infrastructure
Why it matters:
- The Pax Silica alliance currently includes multiple other allied nations including Australia, Japan, South Korea, Singapore, Israel, the United Arab Emirates and India
Going deeper:
- The Department of State has publicly stated that the Pax Silica Fund will provide seed capital for projects in critical minerals and commodities including rare earth elements, lithium, nickel, cobalt, copper and high purity silica
- The Pax Silica Fund will be led by the Department of State and the Department of the Treasury and will collaborate with the Export-Import Bank of the United States and the Department of Commerce on individual investments
The intrigue:
- The United States federal government has also publicly stated they are planning to attract investment from other allied nations and sovereign wealth funds to meaningfully increase the total size of the Pax Silica Fund
