Apple and MP Materials have announced a financial partnership aimed at strengthening the supply chain for rare earth magnets in the U.S. and creating a new recycling facility.
Partnership Worth $500 Million
The deal between Apple and MP Materials involves a $500 million investment to enhance Apple's independence in the production of rare earth magnets used in various devices, including iPhones.
Production Plans and Shipping Timeline
Under the agreement, Apple is set to begin receiving rare earth magnets from MP Materials' Fort Worth, Texas plant, which is expected to start shipments in 2027. This aligns with both companies' long-term strategies for localizing production.
Economic and Technological Prospects
The deal also includes establishing a recycling line for rare earth materials at the Mountain Pass mine in California, which will enhance supply chain sustainability. Experts note that such collaboration will create new jobs and strengthen both companies' technological positions.
The partnership between Apple and MP Materials is seen as a significant step in developing local production of high-tech components, which may impact supply chains and enhance economic security in the U.S.
