The Only Rare Earth Company in the US Signs Direct Sales Contract with Japan, Skipping China

[Asia Economy Reporter Yu Je-hoon] On the 22nd (local time), Bloomberg reported that the only rare earth producer in the United States signed a contract to supply rare earths directly to a Japanese company.

According to the report, MP Materials decided to sell rare earths from the Mountain Pass mine located in California, USA, directly to Sumitomo Corporation of Japan. MP Materials is the only rare earth producer in the United States.

Previously, the rare earths mined from this mine were transported to China for refining before being delivered to Japanese companies, but now they will be sold directly to the Japanese company (Sumitomo Corporation) without passing through China.

The United States has recently been focusing on securing rare earths, which are key materials for various electronic products, advanced weapons, and future technologies. The goal is to reduce China's influence, which almost monopolizes the rare earth market.

MP Materials and Sumitomo Corporation stated, "This contract will stabilize, diversify, and strengthen an important core supply chain for Japan's manufacturing sector."