Apple is expanding its US operations with a $500 million investment in rare earths company MP Materials. The deal, announced on Tuesday, aims to bolster the iPhone maker’s domestic supply chain and reduce its reliance on China.
As part of the partnership, Apple will buy rare earth magnets directly from MP Materials and collaborate on a new recycling line in California that will repurpose recycled materials for use in Apple products. This move is part of Apple’s broader $500 billion investment to expand its US presence and reduce its dependence on Chinese technology manufacturing.
The deal is significant because China controls nearly all rare earths processing, making them a key bargaining chip in trade talks between Washington and Beijing. Rare earths are essential for advanced technologies such as smartphones, TVs, military jets, and batteries in electric vehicles.
MP Materials’ facility in Fort Worth, Texas, will create new magnet manufacturing lines specifically for Apple products, with shipments expected to begin in 2027. The company says the partnership will support “hundreds of millions” of Apple devices globally. The deal also includes a commitment to create dozens of new jobs and provide training to develop a US workforce for magnet manufacturing.
While the investment may be influenced by President Trump’s push to onshore technology manufacturing, it aligns with Apple’s existing efforts to incorporate recycled materials into its products. The iPhone 16e, launched earlier this year, includes 30 percent recycled content, and Apple has used recycled rare earths in various products.
The deal marks a significant step for Apple’s US expansion plans, which include investing in domestic manufacturing and reducing reliance on Chinese assembly facilities and supply chain operations.
Source: https://edition.cnn.com/2025/07/15/tech/apple-mp-materials-rare-earths-500-million-investment