Apple to invest $500 million in US rare earth minerals industry

According to a report from Fox Business, the half-billion-dollar investment will include plans for Apple to purchase American-made rare earth magnets from MP Materials’ facility in Texas. The agreement also includes the construction of a new recycling center in California, where materials from used electronics will be reprocessed and reused in future Apple products. Another facility in Texas will be built to manufacture magnets used in Apple devices and other products internationally.

"This is a huge win for the president, who has the foresight to make this issue a priority," a senior White House official told Fox News. "Apple deserves a lot of credit for stepping up. It’s good for the country, good for American workers, and it’ll prove to be good business, too."

The official added that “Other companies should take notice."

The move comes as the Trump administration has made rare earth mineral independence a central focus, citing national security concerns over US dependence on China. China currently produces about 60 percent of the world’s rare earth supply and processes up to 90 percent of it.

Apple’s decision also follows a recent announcement by the Department of Defense that it will invest $400 million in MP Materials, part of what the company described as a “transformational public-private partnership” that will "accelerate the build-out of an end-to-end U.S. rare earth magnet supply chain and reduce foreign dependency.”

Back in March, President Trump signed an executive order in which he said it is “imperative” for the US to ramp up American mineral production, saying the US must take "immediate action to facilitate domestic mineral production to the maximum possible extent."