According to media reports and analytical materials, including publications by The Wall Street Journal, the United States is facing an increasingly acute shortage of munitions and missiles. This problem has become especially evident against the backdrop of prolonged military conflicts and sharply rising defense expenditures. As a result, the Pentagon has intensified efforts to secure alternative sources of critical minerals, aiming to reduce its strategic dependence on China.
The missile shortage is already exerting direct pressure on global supply chains. Strong demand and rising prices for components used in precision-guided weapons are creating favorable market conditions for producers of raw materials essential to the defense industry. Companies involved in rare earth elements, tungsten, and antimony are among the primary beneficiaries, as these materials are indispensable for modern weapons systems.
Rare earth magnets represent one of the most significant strategic bottlenecks. Magnets based on neodymium, dysprosium, and praseodymium are critical for missile guidance systems, drone electric motors, and advanced aviation platforms, including the F-35. China’s control over roughly 90 percent of global rare earth processing capacity has turned this segment into a key vulnerability. In response, the United States is increasing funding for domestic projects that span the entire value chain, from mining to full-cycle magnet manufacturing. Government subsidies and long-term defense contracts are significantly enhancing the investment appeal of American and allied producers.
Tungsten plays an equally important role in modern warfare. It is widely used in armor-piercing munitions, penetrator cores, and ultra-strong alloys for military equipment. Over time, the United States has largely lost its domestic tungsten production and now relies heavily on imports, a substantial share of which previously came from China. The resulting supply risks are accelerating the development of tungsten projects in friendly jurisdictions such as Canada, Australia, and parts of Europe, often backed by U.S. capital and aligned with strategic defense needs.
Antimony remains a quieter but no less critical element. It is used in ammunition, body armor, night-vision systems, and specialized military electronics. Analysts estimate that U.S. strategic reserves of antimony are at dangerously low levels, while the global market for this metal is highly concentrated. This combination amplifies price volatility and increases vulnerability to geopolitical disruptions. Against this backdrop, shares of companies engaged in antimony mining have shown heightened growth potential.
Overall, the U.S. “munitions shortage” is generating long-term structural demand for critical minerals and strategic metals. Mining companies operating in rare earths, tungsten, and antimony are increasingly viewed as quasi-defense assets. Their businesses are supported by government grants and financing programs, strategic independence initiatives, and guaranteed demand from the defense sector.
For investors, this dynamic represents not a short-term speculative opportunity, but the emergence of a durable investment narrative likely to persist for years—at the intersection of geopolitics, defense policy, and global commodity markets.
Aleksei Andrievskii is the founder of the ANDRIEVSKII SEA WEALTH family office in Cyprus, a member of the advisory board at Bendura Bank AG, Liechtenstein