MP Materials Partners with DoD to Boost U.S. Rare Earth Magnet Supply

MP Materials Corp. (NYSE: MP) is set to construct its second domestic magnet manufacturing facility, known as the “10X Facility,” with the help of a multibillion-dollar investment from the Department of Defense. This facility is expected to begin commissioning in 2028 and will bring MP Materials’ total U.S. rare earth magnet manufacturing capacity to an estimated 10,000 metric tons. Additionally, MP Materials plans to expand its heavy rare earth separation capabilities at its Mountain Pass, California, facility. The DoD's commitment includes a 10-year agreement establishing a price floor of $110 per kilogram for MP Materials’ NdPr products and an agreement to purchase 100% of the magnets produced at the 10X Facility for a decade. This partnership aims to strengthen industrial resilience and secure critical supply chains for high-growth industries and dual-use applications.

MP Materials Investor Relations Page provides additional details regarding the agreements between MP Materials and the DoD.

To accelerate the build-out of an end-to-end U.S. rare earth magnet supply chain and reduce foreign dependency.

Convertible preferred equity, warrants, loans, and price floor and offtake commitments extending for more than a decade.

Do you think this partnership will effectively secure the U.S. rare earth magnet supply chain? Let us know!

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