USA Rare Earth to invest $1.2B in South Carolina magnet factory

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Dive Brief:

USA Rare Earth will invest $1.2 billion to establish a magnet manufacturing and refined metals operation in Blacksburg, South Carolina, the critical minerals company said Tuesday. It is targeting a 2028 commissioning date, with plans to begin site work in the coming months.

The project, slated for Bailey Industrial Park, is expected to create 490 jobs and expand domestic production for sintered neodymium-iron-boron (NdFeB) permanent magnets and refined rare earth metals.

USA Rare Earth on Wednesday said it reached definitive agreements to receive up to $1.6 billion in funding from the U.S. Department of Commerce’s CHIPS program for its Blacksburg facility and other projects underway. In exchange, the U.S. government will receive 16.1 million shares, making it one of the largest company stakeholders.