President Joe Biden’s signature climate policy promotes a “golden age of mineral exploration” in Australia, as the U.S. rushes to catch up with China in clean energy technology.

Deals between Australian miners and U.S. automakers have already spurred increased investment in battery metal exploration and recycling, and the Inflation Reduction Act is accelerating the process.

The IRA promises nearly $400 billion in incentives and tax credits for clean technologies, from electric cars to hydrogen production. The credits for electric cars are only available if most of the minerals used in them are mined or refined either in the United States or in a country that has a free trade agreement with the United States.

Australia is the world’s top exporter of lithium, a key material for electric car batteries, and has large reserves of nickel, cobalt and rare earths. China is by far the country’s largest market for minerals, but the U.S. is becoming increasingly attractive.

The IRA is part of a U.S. effort to develop new clean energy supply chains and reduce dependence on China, which currently dominates the sector. Australia wants to serve other markets as well, including China, where the vast majority of lithium for recycling is sent today. Australia’s diplomatic ties with China have recently strengthened after several years of cold relations.