Apple Signs $500 Million Rare Earth Magnet Deal With MP Materials

Apple Inc. has secured a $500 million agreement with MP Materials to ensure a steady supply of rare earth magnets, a MOVE aimed at mitigating supply chain vulnerabilities amid China's export restrictions. The deal sent MP Materials' stock soaring by 20%, reflecting investor confidence in the partnership with the world's most valuable company.

MP Materials, the sole U.S.-based rare earth magnet supplier, has seen its shares surge 255% year-to-date, making it one of the market's top performers. The company recently inked a similar deal with the U.S. Department of Defense, further solidifying its position as a critical supplier in the sector.

Apple's strategic pivot to domestic suppliers underscores its focus on securing essential components without disruption. 'This partnership ensures Apple maintains unfettered access to vital materials,' noted Gracelin Baskaran of the Critical Minerals Security Program.