Why US Tech Giants and the Pentagon Are Alarmed by China’s Grip on Batteries Powering AI and Weapons
American technology companies and the US defence establishment are confronting a shared strategic challenge: growing dependence on China-made lithium-ion batteries. From powering massive AI data centres to running next-generation military systems, batteries have become critical infrastructure—and China’s dominance in this sector is raising serious national security concerns in Washington.
Context: Batteries at the Heart of AI and Modern Warfare
As US tech giants race to build energy-hungry data centres to stay competitive in artificial intelligence, experts warn that their reliance on Chinese battery supply chains creates a strategic vulnerability. Dan Wang, a researcher at Stanford University’s Hoover Institution, recently noted that China leads “almost every industrial component” of the battery ecosystem, both in technological advancement and production scale.
The same concern is echoing inside the Pentagon. Military planners, observing lessons from the Ukraine conflict, say modern warfare increasingly depends on battery-powered technologies—from drones and sensors to laser systems. Many of these batteries or their components originate in China.
How Deep the Dependence Runs
According to defence analytics firm Govini, US military programmes rely on Chinese supply chains for nearly 6,000 different battery components used across weapons systems and platforms. Speaking at a defence-industry meeting in California, Govini CEO Tara Murphy Dougherty said that foreign-made components appear in every US weapons system, underscoring the scale of the issue.
This dependence, once viewed primarily as an industrial or automotive concern, is now being reframed as a national security risk.
How the US Became So Dependent
China has spent decades investing heavily in battery manufacturing, raw material processing, and supply chain integration. While US policymakers previously focused on batteries mainly through the lens of electric vehicles and clean energy, Beijing recognised their broader strategic importance.
In October, amid rising trade tensions, China signalled that it could restrict exports of advanced lithium-ion technologies, including key materials such as graphite anodes and cathodes—an announcement that sharpened US concerns.
Policy Tensions Under the Trump Administration
The issue has created internal contradictions in US policy. Early in President Donald Trump’s administration, billions of dollars in battery manufacturing grants approved under the Biden administration were paused. Batteries were grouped alongside electric vehicles, solar, and wind energy—technologies Trump has publicly criticised.
However, officials now acknowledge that batteries are indispensable for AI development, defence systems, and data infrastructure, regardless of views on clean energy. Industry leaders and defence officials say the White House has increasingly shifted toward supporting domestic battery capacity as a strategic necessity.Steps to Reduce China Reliance
In recent weeks, the White House has reportedly convened high-level meetings focused on the battery supply chain. The National Energy Dominance Council, created by Trump, has engaged with battery manufacturers, while the Energy Department has quietly approved several previously stalled grants.
The department has also announced up to $500 million for battery materials and recycling projects. The US has begun investing in companies working on alternative battery technologies and critical mineral extraction, and has encouraged allies such as Japan to expand battery manufacturing in the US.
Meanwhile, the newly passed National Defense Authorization Act includes restrictions on Pentagon purchases from “foreign entities of concern,” a category that largely targets China.
Conclusion
As batteries become the backbone of both digital economies and military power, the US is being forced to rethink long-standing supply chain dependencies. The challenge now is whether Washington can rebuild domestic battery capacity fast enough to close a gap China spent decades widening.
Final Thoughts from TheTrendingPeople
The battery race is no longer just about electric cars or climate policy—it sits at the intersection of artificial intelligence, military readiness, and geopolitical power. As China’s dominance becomes clearer, the US faces a defining test: whether it can translate urgency into industrial revival before strategic dependence turns into strategic weakness.