US Rare Earth Firms Accelerate Production to Counter China Controls

Two major American firms are advancing domestic rare earth supply chains to mitigate the impact of Chinese export controls on critical minerals. Energy Fuels released a bankable feasibility study for its White Mesa mill in Utah, detailing a stage two expansion that would increase processing of light and heavy rare earths six-fold to approximately 6,000 tonnes per year. The company also produced 99.9% dysprosium oxide in December, which qualified for use by a South Korean automotive manufacturer. This milestone makes Energy Fuels the first U.S. company to have both light and heavy rare earth elements qualified for permanent magnet applications.

Simultaneously, USA Rare Earth, Inc. accelerated the commercialization timeline for its Round Top deposit in Texas. The company now targets the start of commercial production in late 2028, two years earlier than previously expected. To facilitate this, USA Rare Earth is operating a Hydromet demonstration facility in Colorado and constructing a magnet manufacturing plant in Oklahoma.

These strategic expansions target the domestic production of minerals such as dysprosium, terbium, gallium, and beryllium. The push for autonomy follows strict export controls implemented by the Government of China on April 4, 2025, which triggered shortages in the semiconductor, defense, and automotive sectors.