Tech giant Apple is making a groundbreaking commitment to domestic supply chain development by signing a massive $500 million partnership with MP Materials, the operator of Mountain Pass mine in California’s Mojave Desert. This strategic investment aims to reduce dependency on international rare earth metal sources and strengthen domestic manufacturing capabilities.

The deal focuses on two major projects: establishing a rare earth recycling line at the Mountain Pass facility and creating custom manufacturing lines for Apple magnets at MP Materials’ Texas factory. By 2027, the company expects to produce neodymium magnets for hundreds of millions of Apple devices, marking a significant step towards onshoring critical technology components.

Mountain Pass is uniquely positioned as the only rare earth metals mine in America and the largest producer in the Western Hemisphere. The mine sits on an incredibly rich seam of metals like neodymium, which are crucial for modern technological applications including batteries, semiconductor chips, screens, and clean energy technologies.

This partnership comes at a critical time when China currently dominates rare earth metal production, mining 60% and refining over 90% of global supplies. Apple’s investment represents a strategic effort to diversify and secure its supply chain, reducing reliance on international markets.

The U.S. Department of Defense has also recognized the strategic importance of domestic rare earth production, providing grants and recently establishing a partnership with MP Materials that includes a price floor for rare earth products and a direct government stake in the company.

Apple CEO Tim Cook expressed excitement about strengthening material supply within the United States, aligning with the company’s commitment to invest $500 billion domestically over the next four years. This move not only supports technological innovation but also contributes to rebuilding American manufacturing capabilities in a critical sector.