(Reuters) -China for decades has sought to manipulate global critical minerals prices, using its control as an economic weapon to expand its manufacturing sector and its geopolitical influence, a U.S. House of Representatives committee said on Wednesday.

The allegations, contained in a 50-page report from the bipartisan U.S. House Select Committee on China and reviewed by Reuters, adds to a series of missives from Washington criticizing Beijing's sway in critical minerals markets.

President Donald Trump and his predecessor, Joe Biden, have in recent years sought to crimp China's dominance in the critical minerals sector.

COMMITTEE RECOMMENDATIONS INCLUDE MINERALS PRICE CONTROLS

The committee's legislative report aims to codify presidential orders into law with an array of recommendations including price controls and expanded government oversight of price reporting agencies.

The Chinese Embassy in Washington did not immediately reply to a request for comment. China has previously accused the U.S. of distorting and exaggerating Beijing's rare earths export controls and of stirring up panic over the issue.

"China has a loaded gun pointed at our economy, and we must act quickly," said Congressman John Moolenaar, a Michigan Republican and chair of the committee.

A chemist by training who previously worked at Dow Chemical, Moolenaar added that Beijing's practices had "caused American job losses, driven American miners out of business, and jeopardized national security."

The report, compiled by committee staff, was also endorsed by the ranking Democrat, Congressman Raja Krishnamoorthi of Illinois.

It alleges that China's role as the world's largest processor of many critical minerals has made it nearly impossible for the United States and allies to determine the true price of certain metals, including rare earths.

The report also suggests that the London Metal Exchange, where many minerals are traded, is susceptible to influence from Beijing, as it is owned by the Hong Kong Exchanges and Clearing.

"The LME advertises itself as showing prices that 'properly reflect global supply and demand.' However, with the (Chinese government) looking over HKEC's shoulder, it is difficult to determine whether the prices it publishes accurately reflect global supply and demand."

The LME said it is subject to the laws and regulations of the United Kingdom, where it is based.

"All of the LME's key prices are determined on the basis of transparent trading activity from an international participant base," a spokesperson said.

REPORT ALLEGES CHINA TARGETS PRICING OF RARE EARTHS

The House committee's report, based on published reports and data, also alleges that China has specifically targeted the lithium and rare earths industries, raising and lowering prices to bolster its own economy.

"Each time lithium prices rose, the PRC government took action to bring lithium prices back down," the report said.

The Trump administration cited issues with pricing in September when it sought an equity stake in Lithium Americas.

The report offers 13 policy recommendations, some of which Trump has already taken. It also aims to spark broader dialogue about China's presence in the minerals markets rather than seek to address every concern.

"One single policy will not completely address the serious challenge the United States faces on critical minerals, so we must simultaneously pursue multiple policy prescriptions," it said.

One of those recommendations, the creation of a "critical minerals czar," was instituted by Trump earlier this year. The report also suggests the creation of a U.S. minerals stockpile, which the administration has indicated it is open to.