Shares of MP materials increase 19% after a rare earth deal of $ 500 million with Apple Pal

Apple Pal has made a $ 500 million deal with the Pentagon -Becked MP Materials for the supply of rare magnets, which the US for serious minerals projects. Underscoring agreement is a corporate America’s growing configuration with Industrial Dysfunctional Policy Support.

Shares of MPs rose 19% on Tuesday morning, while the stock of Apple Pal rose below only 1%. The Multi-Area Supply Deal, announced on Tuesday, is part of a widespread pressure by the Apple Pal to bring iPhone production to the United States amid pressure from the Trump administration to produce less electronics in China. Last week MP The defense department agreed to deal with billions of dollars, which would be the largest shareholder and financial backstop of the Pentagon MP.

The rare earth is a group of 17 metals that are used to make magnets that turn power into motion, including devices that vibrate cellphones. It is also used to make weapons, electric vehicles and many other electronics.

China stopped export of rare Earth in March following a trade with US President Donald Trump, showing some signs of simplifying the end of last month, however, the demand for non-Chinese supply was underscored. As part of the agreement, Apple Pal Las Vegas MP Materials will do $ 200 million for the supply of magnets starting in 2027. MP’s Mountain Pass, California, Magnets in Mining Complex, Fort Worth of MP, Texas, Magnets will be facilitated, companies said.

Apple Pal CEO Tim Cook said in a statement that rare earth content is essential to create advanced technology, and this partnership will help strengthen the supply of this important material in the United States here.

Bob ODN Nell, president of Market Research Firm Technoles Research, said that the Tuesday’s step “has a full sense” requires a significant amount of rare earth magnet for its devices.

“Plus, by focusing on a US -based supplier, it helps to give the Apple Pal more positive in Washington.” Apple Pal said the deal is in the US. It is part of a four -year investment commitment to $ 500 billion in the US, the U.S. Trump’s threats were faced on the unmarried iPhone, but many analysts have said that the U.S. It is not possible to create an iPhone, labor costs and current smartphone supply chain.

The MP already produces a minded and processed rare earth and said he expects to start a commercial magnet production in its Texas facility by the end of this year. U.S. last week The deal with the government includes the price floor for the rare earths designed to stimulate investment in domestic mines and processing plants, which are partly due to low prices fixed in China. Has been behind.