USA Rare Earth Rises 4%, Then Coughs Up Gains as Chinese Suppliers Refuse U.S. Shipments

USA Rare Earth’s shares rose 4% to $18.35 early Friday, then gave back gains after Reuters reported that some Chinese suppliers have refused to ship rare earth materials to U.S. customers since early August. The news feeds the argument for a domestic, non-China supply chain. Even as the S&P 500 ETF SPY fell 0.1% to $772.31, USA Rare Earth later slipped to $17.70 around 10:00 a.m. ET, leaving the stock roughly flat at that point. The timing matters: the company completed its combination with Serra Verde Group on September 3. It said Serra Verde is the only scaled producer outside Asia of all four magnetic and other critical heavy rare earth elements, operating in Goiás, Brazil. Leadership changes are also scheduled, with Thras Moraitis set to become CEO on October 1.