What is Project Vault and why does it matter to German investors?

Project Vault is a US initiative worth US$12 billion to stockpile critical minerals and rare earths using public and private financing. It aims to stabilize supplies for clean tech and defense. For German investors, more secure inputs can reduce price shocks, support industrial margins, and improve visibility for companies linked to EVs, wind energy, and automation.

How can I get exposure to rare earths without picking single stocks?

Rare earths ETFs offer diversified exposure to miners, processors, and magnet makers. Check index rules, top holdings, country mix, expense ratio, and euro trading volume. Use limit orders and watch spreads. Rebalance on a schedule and avoid chasing early spikes after policy headlines or media coverage.

What are the main risks in the rare earths investment theme?

Key risks include policy shifts, export controls, project delays, and cost overruns. Demand can soften if EV or wind installations slow. Currency adds volatility for euro-based investors since many assets price in US dollars. Manage risk with modest position sizes, diversification, and clear exit rules based on volatility.

Do US-EU initiatives reduce dependence on China rare earths?

Joint efforts can reduce reliance by growing refining, magnet manufacturing, and recycling capacity across allied economies. This takes time, permits, and capital, so progress will be stepwise. Diversified supply chains do not remove risk, but they can limit the impact of any single-country policy move on prices and availability.

Global Market Insights

Rare Earths Surge February 9: US Project Vault Rewires Supply Chains

ByDanny Kontos February 9, 2026February 9, 2026

Project Vault rare earths is a US$12 billion initiative to stockpile critical minerals and rare earths, using Export-Import Bank financing and private capital. For Germany, this move matters because autos, wind, and defense rely on secure inputs. US critical minerals policy, paired with EU cooperation, can reduce exposure to China rare earths processing and support European industry. We explain what this shift means for portfolios in Germany, how rare earths ETFs fit, and the key risks to watch now.