A US pressure group has applauded Colorado Congressman Mike Coffman (pictured) for introducing legislation to "address the impending rare earths crisis" and create a "complete and secure supply chain" that ensures US companies continue to have access to rare earth elements.

The United States Magnet Materials Association (USMMA), a coalition of companies representing domestic high performance magnet producers and suppliers, welcomed Coffman's Rare Earth Supply-Chain Technology and Resource Transformation (RESTART) Act of 2011, H.R. 1388. The group described the legislation as: "A comprehensive bill that addresses all aspects of the nation's significant rare earths challenges, including resource development and downstream manufacturing for metal, alloys and magnets.

"This critical legislation also provides for the Department of Defense's notable neodymium magnet needs, establishes key oversight and government responsibilities, and fosters necessary research and development, balancing it with the need for a diverse, reliable, and competitive supply chain."

The group added that, of particular importance, the RESTART Act recognises that the US supply chain for critical renewable energy and defence systems is "nearly non-existent", leaving the nation vulnerable to "potentially unreliable foreign nations, such as China".

It further argued that the bill will help break China's "current stranglehold" on the supply chain by giving industry the tools necessary to provide a reliable strategic reserve of neo alloys and magnets.