Overview
- The U.S. Department of Commerce announced a roughly $1.6 billion package for USA Rare Earth to advance a mine in Texas and build a permanent‑magnet plant in Oklahoma, including about $277 million in federal funding and a $1.3 billion senior secured loan.
- Brazil formally began designing a National Rare Earths Strategy after a kickoff meeting with its Mines and Energy Ministry and the Inter-American Development Bank to set targets, governance and sustainability guidelines for a domestic value chain.
- U.S.–Brazil coordination includes a nearly $465 million U.S. loan to Brazilian miner Serra Verde in Goiás to expand output for markets outside China, while companies such as Aclara Resources are planning cross‑border projects linking Brazilian mining to U.S. processing.
- China remains the dominant force, producing about 70% of global rare earths and controlling the vast majority of processing capacity, underscoring why the U.S. and partners are diversifying supply.
- Experts warn that scaling extraction and refining will take years and must address technical, regulatory and environmental risks, including contamination concerns and community impacts.