NEW YORK, Feb 2, 2026, 11:20 EST — Regular session underway
Shares of USA Rare Earth (USAR) climbed 9.4%, reaching $24.52 by 11:20 a.m. EST on Monday. The stock had fluctuated between $21.33 and $25.95 earlier in the session, with roughly 24.8 million shares changing hands.
The rally came after reports surfaced that the White House plans to create a $12 billion strategic stockpile of critical minerals, called Project Vault, to support U.S. manufacturers and cut dependence on China. The initiative would mix private investment with a $10 billion loan lined up from the U.S. Export-Import Bank, according to Reuters. (Reuters)
This shifts things, placing Washington once again as a potential buyer amid rare earths supply chains, which have evolved into a policy concern beyond mere pricing.
China dominates roughly 70% of rare earths mining and oversees about 90% of their processing, the Associated Press reported, putting U.S. manufacturers at risk during trade disputes. (AP News)
Shares of MP Materials climbed roughly 3.3% by late morning.
USA Rare Earth supplies sintered neo magnets and other rare earth metals and is building an NdFeB magnet plant in Stillwater, according to its Reuters profile. NdFeB magnets are powerful permanent magnets commonly used in electric motors. (Reuters)
Last week, the company announced a non-binding letter of intent with the U.S. Department of Commerce’s CHIPS Program for a $1.6 billion package, along with a partnership with the U.S. Department of Energy. “We are positioned to accelerate the build-out of important domestic capabilities,” said CEO Barbara Humpton. (GlobeNewswire)
USA Rare Earth wrapped up a $1.5 billion private placement on Jan. 28, selling shares at $21.50 each, according to a filing with the U.S. Securities and Exchange Commission. The deal, a PIPE (private investment in public equity), aims to fund the company’s “mine-to-magnet” expansion. It also plans to file a resale registration statement within 30 days of closing. (SEC)
The company remains in build-out mode and hasn’t secured customers yet, according to executives. Reuters reported in January that the planned Texas mine and magnet facility might require around $4.1 billion, creating a funding shortfall despite the government and private financing already announced. (Reuters)
Traders are focused on how Project Vault plans to source and stockpile materials, especially if procurement guidelines favor U.S. suppliers. The Export-Import Bank board’s vote on the loan, scheduled for Monday, is the upcoming milestone to watch.
