FT reported on the US plans to invest $1.6 billion in the development of rare earth metals

The administration of US President Donald Trump plans to invest $1.6 billion in the American company USA Rare Earth, which will be the largest public investment in the private sector to ensure the supply of critically important minerals. This was reported on January 25 by the Financial Times (FT) newspaper.

It is specified that USA Rare Earth is developing a mine in Texas, which contains 15 of the 17 rare earth elements used in the manufacture of electronics and weapons, and later plans to build a magnet manufacturing plant in Oklahoma. The deal and separate private financing of more than $1 billion are expected to be announced on January 26.

"We are focused on recovering critical and strategic minerals needed for the semiconductor supply chain and U.S. national security," said a spokesman for the U.S. Department of Commerce.

According to the newspaper, of the $1.6 billion, $277 million will be spent on the purchase of shares in USA Rare Earth, which will provide the government with about 10% in the company. In addition, another $1.3 billion will be given as a loan, which the company must repay with interest.

The article notes that the money comes from a special fund of the US Department of Commerce, created under the law on chips and science of 2022. Thus, the United States will simultaneously become a co-owner and creditor of the company, gain control over strategic rare earth metals and assist in the development of domestic production.

Buy it, Don: Americans oppose Trump's foreign policy projects

The 47th president is trying to achieve political victories by the 2026 congressional elections.

Nikolai Topornin, an international lawyer and director of the Center for European Information, told Izvestia on January 18 that Trump, if he succeeds in annexing Greenland to the United States, undoubtedly expects to gain prestige for his country and receive great financial benefits from the island in the future. According to him, Greenland is a very rich territory in terms of the possession of rare earth metals, which are very necessary for the United States, given their vector for the development of technologies using artificial intelligence.

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