In Tokyo on Tuesday, U.S. President Donald Trump and Japan’s newly appointed first female prime minister Sanae Takaichi formalised a sweeping agreement on critical minerals and rare earths while discussing trade, defence and investment.
The “trump japan critical minerals deal” signals a firm pivot by both nations to secure supply chains for materials vital to everything from smartphones to fighter jets, and to bolster bilateral ties amid growing regional tensions. This step is layered atop broader moves involving trade and military coordination.
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Takaichi pledged to accelerate Japan’s defence spending to 2 % of GDP, a move welcomed by Trump as part of his effort to strengthen alliance commitments.
In their talks at Tokyo’s Akasaka Palace, Trump complimented Takaichi’s leadership, saying: “You will be one of the great prime ministers … I’d also like to congratulate you on being the first woman prime minister. It’s a big deal.”
Meanwhile, Takaichi told reporters through an interpreter: “In such a short period of time the world started to enjoy more peace. I myself was so impressed and inspired by you, Mr President.”
The two leaders signed a framework to coordinate investments and policies around rare earths and critical minerals, including mining, processing, stockpiling and regulatory streamlining.
On the trade front, sources say Japan is expected to roll out a roughly US$ 550-billion investment package into the U.S., covering ship-building, natural gas, soybeans and pickup trucks, a gesture that may soften pressure from Washington over defence-spending demands.
Takaichi also announced she would nominate President Trump for the Nobel Peace Prize, according to a White House briefing.
The bilateral deal comes at a time when China dominates rare-earth processing (more than 90 % of global output), prompting both America and Japan to seek alternatives.
Trump’s visit marks his first to Japan since 2019, and he is scheduled next to travel to South Korea where he plans talks with Chinese President Xi Jinping amid ongoing trade tensions.
For Takaichi, who lacks a strong parliamentary majority, this high-profile show of US support and investment may bolster her domestic standing.
