USA Rare Earth, Inc. (USAR) Stock: Rises on $12 Billion Strategic Stockpile Plan

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TLDR

  • Following the White House’s announcement of Project Vault, a $12 billion strategic minerals stockpile initiative, shares of USA Rare Earth jumped 16.15% to $25.69.
  • The program combines $1.67 billion in private capital with a $10 billion Export-Import Bank loan to secure critical rare earth materials.
  • USAR’s Stillwater magnet facility in Oklahoma is approaching commercial production, with commissioning expected in early 2026.
  • The company strengthened its balance sheet with $1.5 billion PIPE financing completed in January 2026, bringing total cash to over $400 million.
  • The Q4 2025 earnings release is scheduled for February 5, with a consensus estimate of a 12 cents loss per share.

USA Rare Earth, Inc. (NASDAQ: USAR) had a significant rally in today’s trading session, with shares climbing 16.15% to reach $25.69 as of 3:11:22 PM EST. The increase comes after a major policy announcement from the White House that could reshape the domestic rare earth minerals industry and greatly benefit the company’s long-term prospects.

USAR Stock Card

Project Vault Signals Government Commitment To Rare Earth Independence

The unveiled Project Vault, an ambitious $12 billion initiative aimed at establishing a strategic minerals stockpile and reducing American reliance on Chinese rare earth supplies. The program secures critical materials like neodymium and praseodymium (NdPr), which are essential components in high-tech manufacturing and defense applications.

The financing structure combines $1.67 billion in private capital with a $10 billion Export-Import Bank loan, showing coordinated government-industry action to address supply chain vulnerabilities.

The announcement holds particular significance given recent market volatility. USA Rare Earth experienced a sell-off last week after reports that the administration backed away from guaranteed pricing mechanisms. Today’s stockpile plan addresses those concerns by indicating government intervention on the demand side rather than through direct price controls.

Strategic Positioning Through Domestic Production

The administration’s outreach to major automotive manufacturers and technology companies suggests a strategy to create domestic demand anchors for critical minerals and magnets. This approach could enhance long-term offtake visibility for rare earth developers, especially benefiting USA Rare Earth’s Stillwater, Oklahoma facility.

The Stillwater plant is one of the first large-scale magnet production facilities in the United States. Designed to produce Neodymium Iron Boron (NdFeB) magnets, the facility will serve defense, aviation, automotive, and other high-growth sectors. The company is installing key equipment and assembling Line 1a, with commissioning targeted for early 2026.

Financial Strengthening And Strategic Acquisitions

USA Rare Earth completed $1.5 billion in PIPE financing during January