LAS VEGAS, July 6, 2026, 01:17 (PDT)
- MP Materials dropped 13.4% in June after China added the firm to its export-control list. The stock was last at $53.31, off 1.8%.
- MP Materials reported no revenue from rare-earth concentrate in the first quarter, after $71.1 million in NdPr oxide and metal sales, up 192%.
- Investor risk moved off the China concentrate sales issue. Now it’s about whether export controls will slow down MP’s equipment, parts, and magnet ramp.
MP Materials Corp NYSE:MP opened Monday with fewer links to China than investors may read from the drop in the stock in June. The rare-earth miner reported it had zero revenue from rare-earth concentrate in the first quarter, versus $30.1 million a year ago, since it stopped selling concentrate in July 2025. Revenue from NdPr oxide and metal was up at $71.1 million. The recent share move looks tied to the cost and timing of building out U.S. magnet capacity, not a hit to China business.
MP shares lost 13.4% during June, most of it after China put MP on its export-control list, The Motley Fool said, citing S&P Global Market Intelligence numbers. The stock’s last trade was $53.31, off 1.8%, with a market cap around $9.49 billion, ahead of the regular U.S. open.
China put MP and USA Rare Earth Inc NASDAQ:USAR on its dual-use export control list, according to a Reuters story from June 22. George Chen, a partner for Greater China at the Asia Group, told Reuters the move is “quite symbolic” since most targeted companies are U.S. defense-related and don’t do much business in China. Reuters
Symbolic moves aren’t always harmless. The Motley Fool said the ban could hit Chinese parts found in products sold on to MP, covering equipment and processing tech too. That means the squeeze could come at the buying and set-up stage, not just on sales.
| MP first-quarter line item | Q1 2026 | Q1 2025 | Change | Investor read |
|---|---|---|---|---|
| Total revenue | $90.6 mln | $60.8 mln | +49% | Revenue is building, downstream strategy still early |
| NdPr oxide and metal revenue | $71.1 mln | $24.3 mln | +192% | Swapping out concentrate for more value-added output |
| Rare-earth concentrate revenue | $0 | $30.1 mln | N/M | Old China-tied business now at zero |
| Magnetics revenue | $21.1 mln | $5.2 mln | +306% | Texas facility starting to impact sales |
| Adjusted EBITDA | $36.6 mln | -$2.7 mln | N/M | Profit rebound helped by new sales and pricing boosts |
MP CEO James Litinsky said in May the company hit “record NdPr production and sales” for Q1. MP produced 917 metric tons of NdPr, a 63% jump, and sold 1,006 metric tons, up 117%. It also recorded $42.3 million in price-protection agreement income. MP Materials
MP Materials’ valuation now sits on a government-backed floor as the supply chain is still early. Last year, the Department of Defense agreed to invest $400 million in convertible preferred stock, issued a $150 million loan for heavy rare-earth separation at Mountain Pass, and backed $1 billion in financing from JPMorgan Chase & Co NYSE:JPM and Goldman Sachs Group Inc NYSE:GS for the 10X magnet plant.
| Backstop | Disclosed term | What investors are pricing |
|---|---|---|
| NdPr price floor | $110 per kg locked in for a decade | Less tied to swings in China spot |
| 10X offtake | All magnets sold to defense and commercial users for 10 years post build | Holds up demand while scaling |
| Magnet capacity target | 10,000 tons capacity once 10X is commissioning in 2028 | Bets on a U.S. magnet firm, not just mining |
| DoD equity stake | Pref shares plus warrants worth 15% of shares if converted and exercised | D.C. takes an anchor role |
Ryan Castilloux, managing director at Adamas Intelligence, called the Pentagon deal “a game changer for the ex-China industry” in comments to Reuters last year. Reuters reported that the plan would boost MP’s magnet production to 10,000 metric tons annually, with the new plant expected to start operating in 2028. Reuters
Ad-hoc-news.de on July 5 took a look at Mountain Pass, focusing on concentrate as the key product. Concentrate remains the feedstock for making separated oxides, alloys and magnets, but investors want to see more product moving downstream. The piece notes MP’s Texas magnet project will supply General Motors Co NYSE:GM EV motors.
| Rare-earth exposure | Last price | Latest move | Market value | Main June issue |
|---|---|---|---|---|
| MP Materials NYSE:MP | $53.31 | -1.8% | $9.49 bln | China export list, magnet ramp concerns |
| USA Rare Earth NASDAQ:USAR | $19.15 | -4.1% | $3.76 bln | China blacklist, shares under pressure, lawsuit worries |
| VanEck Rare Earth/Strategic Metals ETF (NYSEARCA:REMX) | $86.72 | -1.1% | N/A | Wide exposure in the sector |
USA Rare Earth dropped 23% in June, The Motley Fool said Sunday, blaming a resale filing, China’s export blacklist and a court fight with MP. MP is now the only listed U.S. operator, but the risks linger.
MP is leaning on its cash cushion. The company finished March with $886.3 million in cash and $852.1 million in short-term investments, down from a total $1.83 billion at the end of 2025. Net loss came in at $8.0 million, narrower than $22.6 million, though MP is still burning cash to fund a buildout. That progress depends on equipment arrivals, price floors and government support.
Rare-earth politics aren’t just about MP now. Reuters said Monday that Malaysia’s parliament plans a July 16 hearing on Lynas Rare Earths Ltd ASX:LYC and its $96 million supply deal with the U.S. Department of Defense. Wong Chen, who chairs the parliamentary committee on international relations and trade, said the panel will check if the deal breaks local policy.
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