New York, Feb 3, 2026, 12:53 PM (EST) — Regular session.
- USA Rare Earth shares continue their rollercoaster ride as traders pile into rare earth plays tied to Washington
- White House announces “Project Vault” to build a stockpile of critical minerals, backed by Ex-Im financing and private investors
- Attention shifts to purchase terms, timing, and upcoming policy cues from Washington
Shares of USA Rare Earth (USAR.O) jumped roughly 16% on heavy volume Tuesday, boosted by renewed U.S. efforts to build up critical mineral reserves. By midday in New York, the stock climbed $3.53 to $25.64.
The move came after President Donald Trump unveiled “Project Vault,” aiming to create a strategic reserve of critical minerals. The plan features a $10 billion loan from the U.S. Export-Import Bank, alongside $2 billion in private investment. According to a Trump administration official familiar with the initiative, commodities traders like Hartree Partners, Traxys North America, and Mercuria Energy Group will manage procurement. Reuters
Trump introduced the plan as a safeguard against supply disruptions. “Today, we’re launching what will be known as Project Vault to ensure that American businesses and workers are never harmed by any shortage,” he declared from the White House. Interior Secretary Doug Burgum added that 11 more countries will join a critical minerals trade club, with details coming later this week. Reuters
Export-Import Bank Chairman John Jovanovic described the program as a way to “support U.S. production and processing of critical raw materials, and strengthen America’s critical minerals sector.” Still, analysts and investors remain uncertain about the pricing mechanics and how heavily the program will be utilized after the initial buzz dies down. Axios
Shares of other U.S.-listed companies linked to the theme climbed as well. MP Materials rose around 6%, with Energy Fuels and American Resources both jumping close to 14%.
USA Rare Earth produces sintered neodymium magnets and is constructing a neodymium‑iron‑boron (NdFeB) magnet facility in Stillwater, Oklahoma. The company’s goal: to secure a larger slice of the U.S. rare-earth supply chain. NdFeB magnets play a key role in electric motors and other industries that rely on powerful permanent magnets.
The stock ended Monday at $22.11, after trading within a range of $21.79 to $26.02. This kind of volatility has become routine over the past two weeks, as policy news initially moves the price before traders dissect the details.
The company has already reaped benefits from Washington’s push on critical minerals. Just last week, it announced the Trump administration would support a $1.6 billion debt-and-equity package to build its mine and magnet facilities. The government’s backing comes with shares and warrants.
The company also announced the closing of a $1.5 billion private investment in public equity, or PIPE, financing — a discounted share sale to private investors frequently used for rapid capital raises.
But the policy trade swings both ways. Inside the administration, debate over whether to implement price floors—minimum price guarantees aimed at backing domestic projects—has rattled the sector. Investors are still left in the dark about Project Vault’s purchase terms, complicating demand forecasts.
The next major event hits Wednesday, as Secretary of State Marco Rubio hosts a ministerial meeting on critical minerals at the State Department. Vice President JD Vance is expected to give the keynote. Traders will be on the lookout for specifics on Project Vault: what it will buy, which players are on board, and how quickly federally supported demand will hit the market.
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