Key Insights for Investors on the U.S. Rare Earth Producer’s Deal with Apple and the Pentagon

MP Materials (NYSE: MP) has begun producing neodymium-iron-boron (NdFeB) magnets at its Independence facility in Fort Worth, Texas, marking a significant shift towards vertical integration in the rare-earth mining sector. In 2025, the company reported $224 million in revenue, a 10% increase from the previous year, but faced a net income loss of $85.8 million, up from $65.4 million in 2024. It produced a record 2,599 metric tons of neodymium-praseodymium (NdPr) oxide, a critical raw material for magnets, showcasing a 101% increase year over year.

MP Materials is supported by notable partnerships including a $500 million agreement with Apple, aimed at establishing a circular supply chain for recycled rare-earth magnets. Additionally, the Department of Defense invested $400 million in the company, gaining a 15% stake as part of a strategy to reduce U.S. reliance on Chinese rare-earth supplies. The Pentagon has established a $110/kilogram floor price for NdPr oxide to ensure stable cash flow amid market fluctuations.

As the only large-scale rare-earth mine operating in the U.S., MP Materials is positioned to meet growing domestic demand, especially for military and electric vehicle applications. The company’s advancements in production and strategic partnerships are expected to bolster its long-term viability in a market currently dominated by China.