Apple Inc. (NASDAQ: AAPL) announced a $500 million investment in MP Materials Corp. (NYSE: MP). This investment backs a long-term agreement where MP will supply Apple with rare earth magnets made entirely from recycled materials, all manufactured in the United States.
Under the agreement, MP will produce the magnets at its Fort Worth, Texas, facility—called Independence—using recycled feedstock processed at its Mountain Pass site in California. The recycled material will be collected from post-industrial waste and end-of-life magnets.
James Litinsky, Founder, Chairman, and CEO of MP Materials, said,
“We are proud to partner with Apple to launch MP’s recycling platform and scale up our magnetics business. This collaboration deepens our vertical integration, strengthens supply chain resilience, and reinforces America’s industrial capacity at a pivotal moment.”
US Rare Earths in 2024: Production and Imports
Rare earth magnets are key components in everyday electronics like iPhones, laptops, and smartwatches. They are also essential for electric vehicles, robotics, wind turbines, and energy systems.
- According to USGS, the US produced about 45,000 tons of rare earth oxide (REO) concentrates, worth $260 million in 2024.
Most of it came from bastnaesite mined at Mountain Pass, California. Monazite was either stockpiled or found in heavy mineral sands in the Southeast, while mixed rare-earth compounds were made in the West.
Notably, the US also imported rare-earth metals and compounds worth $170 million, a drop of 11% from 2023. The top use was for catalysts, followed by magnets in finished goods, ceramics, glass, alloys, and polishing. Thus, it becomes increasingly important to strengthen the domestic rare earth capacity and reduce imports.
MP Materials specializes in NdFeB (neodymium-iron-boron) permanent magnets, known as the most powerful and efficient magnets in the world. Without them, the U.S. could face major delays in its clean energy and electric vehicle goals.
An aerial view of MP Materials’ Independence facility in Fort Worth, Texas, illustrating the scale of operations at this critical manufacturing hub
MP Materials Expands U.S. Recycling to Power Apple Partnership
MP Materials is stepping up its role as a key player in America’s clean tech future. It sources rare earth elements from one of the world’s richest deposits in California.
- Notably, it’s the only U.S. company that controls the entire rare earth magnet supply chain—from mining and refining to magnet manufacturing.
Recycling rare earth magnets instead of mining them will reduce waste, conserve resources, and lower production costs. Its Mountain Pass facility will process old magnets, manufacturing scrap, and electronic waste.
This strategy will boost rare earth output so it can start shipments in 2027 and eventually supply magnets for hundreds of millions of Apple devices.
For the past five years, both companies have worked together on advanced recycling technologies, and MP’s recycled materials have met Apple’s strict standards for product performance and design.
Fueling Sustainability: Apple’s Drive for 100% Recycled Materials
Apple is prioritizing sustainability across its product line. In 2024, over 80 percent of the rare earth elements used in Apple products came from certified recycled sources, up from 75 percent in 2023.
The company uses a detailed process, including Material Impact Profiles (MIPs), to evaluate the social, environmental, and supply risks of various raw materials. This helps Apple focus its efforts on materials where it can make the biggest difference.
Today, Apple is running sustainability projects for key materials including aluminum, cobalt, copper, gold, glass, lithium, rare earths (neodymium, praseodymium, dysprosium), tin, tungsten, zinc, and others.
Apple’s long-term plan is to transition entirely to recycled and renewable materials. That shift won’t be quick, but the company is leading the way.
By the end of 2025, Apple plans to use 100 percent recycled cobalt in all batteries, 100 percent recycled tin and gold in all circuit boards, and 100 percent recycled rare earth magnets across all products, excluding items made for replacement or repair.
- This effort supports Apple’s 2030 goal to cut Scope 1, 2, and 3 emissions by 75% and offset the rest through high-quality carbon removal projects.
The company has already reduced emissions across its value chain by over 60% while growing revenue by more than 65% since 2015.
Apple (AAPL) Sees Marginal Rise Amid Broader Struggles in 2025
Apple Inc. (NASDAQ: AAPL) is having a rough start in 2025. Its stock is trading at $208.62, showing a 16.49% drop so far this year. In comparison, the S&P 500 has gone up 6.58%, which means Apple is falling behind the overall market.
Moreover, the company is facing pressure from several challenges, including the impact of former President Trump’s trade war, a U.S. Department of Justice antitrust investigation, and concerns that Apple is falling behind in artificial intelligence (AI).
Although Apple’s stock rose slightly after the MP Materials deal was announced, bigger issues are still affecting investor confidence. Despite these downturns, this partnership strengthens Apple’s brand as a leader in eco-conscious product design.
MP Materials (MP) Stock Jumps 20% After Apple Partnership
While Apple struggled, MP Materials Corp. (NYSE: MP) saw its stock soar. After announcing its new deal with Apple, MP shares went up 20% on Tuesday, according to Yahoo Finance.
The market reacted strongly to the news. Investors view this partnership as a significant win for MP, particularly as it expands its role in the U.S. rare earth supply chain. The deal not only boosts MP’s growth plans but also supports clean energy and tech manufacturing in the United States.
With a $500 million investment from Apple and support from the U.S. Department of Defense, MP Materials is now seen as a key player in the shift to sustainable, domestic production of critical materials. Overall, it represents a significant step toward America’s sustainable innovation and supply chain independence.
