Vulcan Elements has announced a $1.4 billion partnership with the United States Government and ReElement Technologies to expand a fully domestic, vertically integrated supply chain for rare earth magnets. The collaboration marks a defining step in securing America’s access to critical materials used in advanced manufacturing, energy, and defense technologies.
As part of the agreement, Vulcan Elements will construct, commission, and operate a 10,000-metric-tonne magnet manufacturing facility in the United States. The project will be supported through a $620 million Direct Loan from the Department of War’s Office of Strategic Capital, $50 million in federal incentives from the Department of Commerce under the CHIPS and Science Act, and $550 million in private capital. ReElement Technologies will expand its recycling and processing operations, financed by an $80 million Direct Loan matched by private investment.
The Department of War will hold warrants in both Vulcan Elements and ReElement Technologies, while the Department of Commerce will receive $50 million in equity in Vulcan Elements. The government’s participation signals a new era of public-private collaboration to bolster U.S. industrial independence in the production of critical minerals.
Through this partnership, Vulcan Elements and ReElement Technologies will scale their existing magnet supply chain to produce 10,000 tonnes of rare earth magnets annually. Their operations will focus on recycling end-of-life magnets and electronic waste, closing the loop between resource recovery and advanced manufacturing.
ReElement Technologies will process end-of-life magnets, e-waste, and mined concentrates into high-purity rare earth oxides, which Vulcan Elements will convert into metals and finished magnets. The companies’ technologies have already been validated by independent testing and are supplying products to the U.S. defense and technology sectors.
The two companies have previously signed a commercial-scale offtake agreement for both “light” and “heavy” rare earth oxides, essential inputs for magnet production. As they scale their operations, Vulcan Elements and ReElement Technologies aim to establish an American-made alternative to imported rare earth magnets, reinforcing both economic competitiveness and national security.
Their partnership operates under four guiding principles: advancing U.S. national objectives; fostering transparency and trust; ensuring fair returns; and driving innovation and entrepreneurship. Together, these principles underpin a resilient, end-to-end U.S. supply chain that strengthens the country’s technological foundation and manufacturing independence.
Vulcan Elements specializes in producing high-purity rare earth metals and sintered neodymium-iron-boron (NdFeB) magnets used across advanced industries, including AI data centers, semiconductor manufacturing, robotics, satellites, electric vehicles, and military platforms. The company’s work directly supports efforts to fortify the domestic magnet supply chain and re-energize America’s manufacturing base.
ReElement Technologies, a U.S. refiner of rare earth and critical minerals, leverages proprietary separation and purification methods to transform e-waste and mined concentrates into high-purity rare earth oxides. Its multi-feedstock refining model provides traceable and cost-efficient domestic feedstock to partners like Vulcan Elements, enhancing the resilience of America’s critical materials ecosystem.
KEY QUOTES:
“Our investment in Vulcan Elements will accelerate U.S. production of rare earth magnets for American manufacturers. We are laser-focused on bringing critical mineral and rare earth manufacturing back home, ensuring America’s supply chain is strong, secure and perfectly reliable.”
Howard Lutnick, Secretary of Commerce
“As a former Navy officer, I am honored by the trust that the American government and American people have placed in Vulcan Elements. Now more than ever, we remain focused on execution and performance, so that we can deliver a capability that the nation urgently needs. Vulcan Elements and ReElement Technologies already have a record of strong collaboration, and I look forward to continuing to work together as we move forward into this next phase of our partnership.”
John Maslin, CEO, Vulcan Elements
“ReElement Technologies and Vulcan Elements are natural partners. Our capabilities are innovative and proven. Our teams draw on the best talent across government and industry. And our companies already have a deep record of principles-based collaboration. With support from the United States Government, we are positioned to become a solution that secures America’s fundamental supply chains.”
Mark Jensen, CEO, ReElement Technologies
