Apple is making a bold move to secure its future in tech manufacturing. Recently, the company committed $500 million to develop US rare earth magnets. This long-term agreement with MP Materials aims to strengthen Apple’s domestic supply chain.
First, the deal includes purchasing magnets from a new MP Materials facility in Fort Worth, Texas. These magnets are essential for iPhones, MacBooks, and electric vehicle components. Moreover, with growing global tensions and unpredictable trade policies, Apple wants to avoid future disruptions.
Additionally, the partnership involves building a rare earth recycling center. This new facility will process used components to recover rare earth elements. Apple plans to reuse these materials in future products. This approach supports both sustainability and cost efficiency.
Apple’s decision comes as the U.S. pushes for tech independence. In fact, lawmakers urge companies to rely less on foreign suppliers, especially China. Currently, China dominates the global market for rare earth elements. By investing in US rare earth magnets, Apple joins the national effort to bring more production home.
Furthermore, the recycling initiative aligns with Apple’s green goals. The company wants to be carbon neutral by 2030. Recovering materials from used products reduces waste and pollution. It also helps Apple reduce costs by creating a closed-loop system.
MP Materials operates the only integrated rare earth mine in the United States. Its Mountain Pass site in California already supplies raw materials. The Texas plant will now manufacture finished magnets for Apple.
Consequently, this move may spark changes across the tech industry. Competitors like Samsung and Tesla could follow Apple’s lead. Many tech firms depend on rare earths for vital device parts. They now face growing pressure to consider American-made alternatives.
In early 2025, Apple revealed plans to spend over $500 billion in the U.S. during the next four years. The company previously pledged $430 billion in 2021, which created 20,000 new jobs. Therefore, this latest move strengthens that ongoing investment strategy.
Apple’s focus on US rare earth magnets signals a big shift. The company isn’t waiting for policy changes or trade deals. Instead, it’s building a smarter, more reliable supply chain on its own terms.
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