US-based rare earth materials miner MP Materials Corp. (MP) saw its stock soar more than 25% Tuesday after announcing a deal with Apple (AAPL).
Apple on Tuesday said that it had committed to a $500 million multiyear deal with MP Materials to buy its rare earth magnets for the tech giant’s products.
The iPhone maker said the deal was part of its effort to build out its US supply chain. Apple has committed to spending over $500 billion in the US to help expand its domestic manufacturing capacity. Rare earth magnets are used in everything from consumer electronics to electric vehicles and defense systems.
“Rare earth materials are essential for making advanced technology, and this partnership will help strengthen the supply of these vital materials here in the United States,” Apple CEO Tim Cook said Tuesday. “We couldn’t be more excited about the future of American manufacturing, and we will continue to invest in the ingenuity, creativity, and innovative spirit of the American people.”
Over the past several months, Apple has come under pressure from President Trump, who has threatened the company with 25% tariffs on its overseas-made iPhones if the company doesn’t move production to the US.
Apple stock rose around 1% in midday trading. Shares of the company are down more than 16% in 2025, with the stock lagging its “Magnificent Seven” Big Tech peers during a rough start to the year. The iPhone maker has dealt with the fallout from Trump’s trade war and a DOJ antitrust probe just as it has fallen behind on AI.
Meanwhile, MP Materials, which went public in 2020, has gained 291% in 2025 and is up roughly 100% over the past month alone. Shares of the rare earths producer soared following an investment from the US Department of Defense last week. The company said on July 10 that the Defense Department would purchase $400 million of its preferred shares to become its largest shareholder as the US looks to build out its domestic rare earth magnet supply chain.
Laura Bratton is a reporter for Yahoo Finance. Follow her on Bluesky @laurabratton.bsky.social. Email her at laura.bratton@yahooinc.com.
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