Home / MP Materials Expands U.S. Operations With Major Apple Collaboration & DoD Partnership

MP Materials Expands U.S. Operations With Major Apple Collaboration & DoD Partnership

By: Jasmin Espinas

Updated: July 15, 2025

Published: July 15, 2025

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MP Materials (NYSE: MP) operates the only fully integrated rare-earth production site in the United States.

The company supplies materials for magnets in electric vehicles, drones, missile systems, and smartphones.

MP Materials is expanding its production capacity domestically through two partnerships: one with Apple for consumer devices and another with the U.S. Department of Defense (DoD) for national defense applications.

MP Materials Partners With Apple in $500M U.S. Magnet Manufacturing Deal

MP Materials announced a long-term supply agreement with Apple on July 15, 2025, committing to deliver rare earth magnets made entirely from recycled materials.

Production will occur at MP’s Fort Worth, Texas facility, using feedstock recovered and processed at its Mountain Pass site in California.

The recycled inputs include magnet scrap and components from post-industrial and end-of-life products.

Through this deal, MP Materials strengthens its effort to restore the rare earth supply chain inside the U.S. while aiming to lower production waste and increase material reuse.

This partnership also builds on nearly five years of technical collaboration between the two companies.

After 5 years of technical collaboration, we’re proud to announce a $500M agreement with @Apple to supply 🇺🇸-made rare earth magnets from 100% recycled materials

Production at our Fort Worth facility, Independence, begins 2027 and will ultimately support hundreds of millions of… pic.twitter.com/et5gBA5oZO

— MP Materials (@MPMaterials) July 15, 2025

As part of the agreement, MP Materials will add a dedicated recycling line at Mountain Pass to handle a variety of input sources.

In addition, shipments are scheduled to begin in 2027, supporting production across Apple’s hardware lineup.

At the same time, both companies will focus on further advancements in magnet recovery and recycling technology.

MP Materials Secures $400M DoD Investment to Boost U.S. Rare Earth Magnet Production

On July 10, 2025, MP Materials announced a public-private agreement with the U.S. Department of Defense to expand domestic production of rare earth magnets.

The agreement includes a $400 million equity investment by the DoD and long-term procurement commitments to strengthen the U.S. supply chain.

So proud 🇺🇸

MP Materials Announces a Transformational Public-Private Partnership with the U.S. Department of Defense

– Multibillion-dollar DoD commitment
– New “10X” magnet facility to be constructed
– 10-year price floor + offtake agreements
– DoD positioned to become MP’s… pic.twitter.com/wno4MiVCYj

— MP Materials (@MPMaterials) July 10, 2025

Additionally, the funding will support construction of MP’s second U.S. magnet manufacturing facility, known internally as the “10X Facility.”

The site, which has not yet been publicly named, will serve both defense and commercial contracts.

Commissioning is also expected in 2028. Once operational, the company’s total domestic magnet output is projected to reach 10,000 metric tons annually.

On a fully converted and exercised basis, the DoD would hold a 15% equity stake, making it MP’s largest shareholder.

Conclusion

With federal backing and long-term contracts, MP Materials will be the sole producer of U.S.-made rare earth magnets.

But capital intensity still seemed to be an issue. Slower-than-anticipated facility buildouts or production may compress margins.

Furthermore, rare earth market pricing, geopolitical policy swings, and other factors can generate volatility that could affect returns.

Still, MP’s model of integration and partnerships in the private and public sectors gives it a lasting edge as global buyers reduce reliance on imported materials.

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