As the Ukraine-Russo war reaches a stalemate in peace talks, the United States is actively promoting agreements on rare earth elements (REEs) with Ukraine. This move underscores the critical importance of these elements in global geopolitics and technological competition. This article analyzes the strategic value of Rare earth elements (REEs), the context of the China-US rivalry, and Taiwan’s strategies for addressing these challenges.

On May 5, On Semiconductor (Onsemi) reported a 22% revenue drop to US$1.45 billion in the first quarter of 2025, with margins squeezed by lower utilization and pricing pressures. The company is streamlining its portfolio, exiting non-core businesses, and boosting silicon carbide (SiC) wins in China’s EV market to navigate the downturn.

The US is charting a new course for defense spending, with President Donald Trump’s administration proposing a 13% increase that would push the Pentagon’s 2026 budget to an unprecedented US$1.01 trillion. While funding for medical research and education faces deep cuts, the White House is prioritizing investments to strengthen national security, deter Chinese aggression in the Indo-Pacific, and revitalize America’s defense industrial base. The move aligns with a global trend of escalating military budgets, as nations respond to heightened geopolitical tensions.