Australian critical minerals projects could be funded by more than a dozen like-minded nations after Australia, United States and other allies signed on to establish a joint financing body in an escalation of efforts to break China’s supply stranglehold.

Known within the federal government as the “NATO of critical minerals”, the deal means development and export agencies in Australia, US, European Union, the United Kingdom, Canada, Japan, South Korea and India could contribute to develop the projects both in Australia and elsewhere.