MP Materials Targets 2028 Deadline to End U.S. Rare-Earth Imports Amid National Security Push

MP Materials is advancing a multi-phase expansion of its rare-earth processing capabilities at the Mountain Pass mine in California, aiming to achieve full domestic self-sufficiency in rare-earth oxides by 2028. The company plans to increase annual production capacity to 60,000 metric tons of rare-earth oxides, up from current levels of approximately 25,000 metric tons. This expansion includes the construction of a new separation facility and upgraded refining infrastructure, enabling the company to produce high-purity rare earths such as neodymium and praseodymium—key inputs for permanent magnets used in electric vehicles, wind turbines, and defense systems. The initiative responds to growing national security concerns over dependence on China, which currently supplies over 80% of the world’s rare-earth materials. By 2028, MP Materials seeks to meet 100% of U.S. demand for critical rare earths domestically, reducing vulnerability in sensitive supply chains. The timeline aligns with U.S. Department of Defense and Department of Energy priorities to diversify sources and secure materials essential for next-generation technologies. The company’s progress is already influencing market dynamics: its stock has risen 22% year-to-date, reflecting investor confidence in long-term demand. Sectors poised to benefit include defense contractors, EV manufacturers, and semiconductor producers. The broader market, as reflected by the S&P 500 and the VIX, has shown reduced volatility in commodity-linked equities since the announcement, signaling improved risk sentiment around supply chain resilience. With rare-earth demand projected to grow at a compound annual rate of 7.3% through 2030, MP Materials’ domestic production pivot could position the U.S. as a key player in the global rare-earth ecosystem. This development underscores a broader shift toward industrial sovereignty, particularly in sectors critical to energy transition and military readiness.