Rare-earth magnets are essential components in electric vehicles (EVs), drones, missiles, and other high-tech and defense systems. For decades, China has held a dominant grip over their production, prompting growing concerns in Washington about supply chain vulnerabilities.
In April 2025, those concerns escalated to the highest level. Recently, President Trump signed an executive order triggering a Section 232 investigation into U.S. dependence on imported processed critical minerals. The order followed China’s suspension of exports of key heavy rare earths and magnets, a move widely viewed as an attempt to weaponize trade and disrupt U.S. industry.
