MP Materials announces a public-private partnership with the US Department of Defense to accelerate the build-out of an end-to-end US rare earth magnet supply chain.

The long-term bull case for the stock rests on the idea that U.S. administrations will aim for rare earth material independence from China, and MP Materials, a company that operates the only rare earth and processing facility, at Mountain Pass in California, , will be a key part of the process.

MP Materials Corp (NYSE: MP) shares surged on Thursday after the U.S. government announced a strategic investment to strengthen the domestic rare earth supply chain.

MP Materials has a large amount of cash at hand and strong demand for rare earth magnets, with new partnerships announced. Read why I'm rating MP stock a buy.

However, it’s not just the government rushing to ensure rare earth supply. Apple (NASDAQ: AAPL) has one-upped the Pentagon by announcing a $500 million agreement with MP Materials to secure recycled rare earth magnets.

MP Materials Corp (NYSE:MP) shares are rising Tuesday after the company signed a long-term agreement to supply Apple Inc (NASDAQ:AAPL).

MP Materials Corp. (NYSE: MP) ("MP Materials" or the "Company") today announced it has entered into a transformational public-private partnership with the United States Department of Defense ("DoD") to dramatically accelerate the build-out of an end-to-end U.

MP Materials (NYSE: MP) is up 50% today after an announcement that the Department of Defense is buying $400 million of preferred stock in the company. This will make the Pentagon the largest shareholder here.

Interior Secretary Doug Burgum said in April the Trump administration was considering equity investments in critical mineral producers to compete with China.