Australia’s parliament has passed legislation granting the country’s export credit agency new powers to buy, stockpile and sell fuels alongside critical minerals like rare earths. The move comes as Australia faces energy shortages triggered by the Middle East conflict, marking a significant expansion of the agency’s role beyond traditional trade finance.

The legislation enables the Export Finance Australia to physically manage fuel inventories, a capability previously reserved for strategic materials like rare earths. This dual focus on energy security and critical mineral supply chains reflects growing concerns about global supply disruptions. The Middle East conflict has exposed vulnerabilities in Australia’s fuel supply chains, prompting lawmakers to take action.

By authorizing fuel stockpiling alongside rare earths, Australia aims to strengthen its position in both energy and critical mineral markets. The expanded mandate positions the export credit agency as a key player in managing national strategic resources, potentially influencing global supply dynamics for both fuels and rare earth elements.