(Reuters) – MP Materials said on Thursday it had stopped shipping rare earth concentrate to China, in response to retaliatory tariffs and export controls, sending its shares down 6.3% in afternoon trading.
“Selling our valuable critical materials under 125% tariffs is neither commercially rational nor aligned with America’s national interest,” the company said in a statement.
The move comes as manufacturers are seeking alternatives amid growing trade tensions between the United States and China.
The rare earths producer said it would continue to produce and stockpile concentrate material while ramping up domestic processing and magnet production in Texas.
MP Materials has invested nearly $1 billion in the United States rare earth infrastructure, including facilities in California and Texas.
(Reporting by Pooja Menon in Bengaluru; Editing by Maju Samuel and Anil D’Silva)
Comments