NEW YORK, March 23, 2026, 03:59 EDT
MP Materials shares are in focus this Monday after CBS News reported that General Motors intends to begin using the company’s rare-earth magnets before year-end. Chief Executive James Litinsky also told CBS that Apple products would follow suit next year. On Friday, the stock closed at $50.60, down 4.7%.
Timing is key here: MP wants to prove last year’s jump in U.S. backing isn’t a one-off. In February, the company posted a fourth-quarter profit—driven by a Pentagon price-support deal and rising magnetics revenue—but investors remain focused on how fast real customer orders ramp up.
Rare earths—17 metals essential for manufacturing permanent magnets—are key components in electric vehicles, consumer electronics, and weapons systems. MP operates the continent’s only rare-earth mine, processes ore in California, and has a magnet plant in Texas, effectively anchoring it in the U.S. push to cut China out of the supply chain.
Litinsky told CBS that “well north of 90%” of rare-earth magnets worldwide are produced in China. Back in February, MP informed investors it would boost magnet output for GM in 2026. Apple, meanwhile, put $500 million on the table last year to help localize some of its mineral sourcing. CBS News
This is no small safety net: Last July, the Pentagon struck a deal to pick up $400 million in preferred stock and warrants—good for a 15% slice of the company. On top of that, there’s a $150 million loan targeting heavy rare-earths processing, plus a decade-long pledge to keep NdPr (neodymium-praseodymium) at a minimum of $110 per kilogram. The element is essential for making magnets.
MP swung to net income of $9.4 million for the fourth quarter, erasing a $22.3 million loss from the same period last year, thanks to that support. Magnetics revenue landed at $19.9 million. The company plans to move forward on its second magnet campus, dubbed 10X, in Northlake, Texas.
Washington is widening its backing, too. Just last week, Australia’s Lynas locked in a U.S. supply deal at a $110-per-kilogram floor for NdPr oxide—the same level. On Thursday, the United States and Japan announced plans to work together on price floors for certain critical minerals.
Still, not everything is settled. Neha Mukherjee, research manager for rare earths at Benchmark Mineral Intelligence, pointed to “firm downstream magnet demand and deliberate supply management in China” as the main drivers behind the recent NdPr rally, but cautioned that prices could see a correction by end-March. Back in January, Reuters noted that some officials and lawmakers were questioning whether Congress had actually given MP a company-specific price floor. Reuters
That goes a long way toward showing why MP shares move as much on headlines from Washington as on production numbers. The stock soared almost 50% after news broke of the Pentagon agreement last July. Then, in February, Reuters noted MP was one of the mineral stocks hit when the White House shifted to a wider trade-bloc pricing strategy, rather than offering more price floors to specific firms.
Now comes execution. MP is targeting 2026 to start construction on 10X, aiming to boost NdPr production and step up deliveries to GM. Apple’s agreement could provide yet another sales channel—if MP manages to keep its mine-to-magnet logistics on track.
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