US President Donald Trump is set to launch a strategic critical minerals stockpile with $12-billion in seed money from the US Export-Import Bank, a Trump administration official familiar with the plan said.

The investment marks Washington's latest attempt to offset what policymakers view as Chinese manipulation of prices for lithium, nickel, rare earths and other critical minerals - vital for items from electric vehicles to high-tech weaponry - that has stymied American mining companies for years.

First reported by Bloomberg News, the venture, Project Vault, will combine private funding with a $10-billion loan from the Ex-Im Bank to acquire and stockpile the minerals for automakers, technology companies and other manufacturers.

Rare earth and critical minerals stocks, such as MP Materials and USA Rare Earth Inc rose on reports of the $12-billion initiative to stockpile critical minerals.

Ex-Im’s board is set to vote later Monday to authorise the 15-year, $10-billion loan.

Trump is set to meet Monday with General Motors Chief Executive Mary Barra and mining-billionaire Robert Friedland, who represent both producers and users of critical minerals, according to a second administrative source familiar with the meeting.

The White House did not immediately respond to a request for comment.

The project has attracted interest from a wide range of American auto and technology companies.

Commodities trading firms Hartree Partners, Traxys North America and Mercuria Energy Group would manage the procurement of raw materials for the stockpile, the official told Reuters.

The stockpile is expected to include both rare earths and critical minerals as well as other strategically important elements that are subject to volatile prices.

Project Vault is intended to help the American auto industry while letting companies keep the risk off their balance sheets, the official said, comparing the logistics of the project to a Costco membership that allows for buying in large volumes.

Another goal is to allow for a 60-day supply of minerals for emergency use, the official said, noting mineral stockpiling is already underway.

An executive structure is expected to be set up for the project and Ex-Im is likely to have a board seat, the official added.

Last month, a bipartisan group of US lawmakers introduced a bill to create a $2.5-billion stockpile of critical minerals, a move aimed at stabilizing market prices and encouraging domestic mining and refining.