DOD Prioritizes Domestic Supply Chain for Rare Earth Materials

The Department of Defense is taking various steps to develop domestic supply chains for rare earth materials, which are essential for the production of magnets for various U.S. weapon systems.

The move is meant to curb U.S. reliance on external sources and strengthen national security, Defense .gov reported.

Rare earth elements are crucial components in systems such as the F-35 fighter jet, Virginia and Columbia class submarines, unmanned aerial vehicles and precision-guided munitions.

Through substantial investments, the DOD seeks to establish a sustainable “mine-to-magnet” supply chain capable of fully supporting U.S. defense requirements by 2027.

“Resilient supply chains are essential,” said Laura Taylor-Kale, assistant secretary of defense for industrial base policy. “The U.S. can no longer afford to rely on overseas, single-points of failure for critical components.”

Since 2020, the DOD has committed over $439 million to establish domestic rare earth production and address dependency on foreign suppliers, primarily China.

Funding has been directed toward local companies like MP Materials and Lynas USA to boost capacity in mining, refining and manufacturing, driving innovation and attracting additional private-sector investment.