Apple, MP Pour USD500M into U.S. Rare Earth Magnet Recycling Facility

(MENAFN) Apple and mining company MP Materials revealed plans Tuesday to invest half a billion dollars into a rare earth magnets recycling facility aimed at reinforcing Apple’s manufacturing presence in the United States.

Under the agreement, Apple will buy rare earth magnets produced at MP Materials’ Fort Worth, Texas factory, according to a statement released by MP Materials.

The two companies will collaborate on establishing a new rare earth recycling production line in Mountain Pass, California. MP Materials anticipates the first shipments of recycled magnets by 2027.

“For nearly five years, Apple and MP Materials have been piloting advanced recycling technology that enables recycled rare earth magnets to be processed into material that meets Apple’s exacting standards for performance and design,” MP Materials said in its statement.

To expand this technological collaboration, MP Materials will build a commercial-scale recycling line at its Mountain Pass site. This facility will process a range of inputs, including magnet scrap and components recovered from devices at the end of their lifecycle.

“In addition, to fulfill this agreement with Apple—and in line with its public-private partnership with the U.S. Department of Defense—MP Materials will significantly expand the capacity of its Fort Worth magnetics facility. Magnet shipments are expected to begin in 2027 and ramp up to support hundreds of millions of Apple devices. MP Materials and Apple will also innovate together to accelerate technological advancements in magnet production, as well as end-of-life recovery,” the company added.

Apple stated that the partnership will generate dozens of new jobs focused on manufacturing and research and development.

“American innovation drives everything we do at Apple, and we’re proud to deepen our investment in the US economy,” said Apple CEO Tim Cook.

“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. 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," he added.

Rare earth magnets play a critical role in a broad range of technology products, from computers and smartphones to electric vehicles and renewable energy systems.

For years, the U.S. has sought to reduce reliance on China, which dominates the global rare earth metals supply chain. MP Materials operates the country’s only rare earth mine.

Earlier this year, Apple announced plans to invest more than $500 billion to enhance U.S. manufacturing infrastructure, including a new artificial intelligence server plant in Texas as part of the initiative.

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