Tariffs on rare-earth minerals being considered by Trump administration cause rare-earth stocks to rise
From Yahoo Finance: 2025-04-16 10:49:00
The Trump administration is investigating tariffs on rare-earth minerals, causing shares of USA Rare Earth to rise by 20% and MP Materials by 12%. Energy Fuels, a uranium producer, also saw a 10% increase in shares. The U.S. has relied on foreign producers, but tariffs may encourage domestic production.
The White House is reviewing rare-earth mineral mining and processing to possibly implement tariffs for domestic production. China, responsible for 70% of U.S. rare-earth mineral imports, recently halted exports. USA Rare and MP Materials shares are rising amidst the trade war tensions, while Energy Fuels shares are also up.
Despite the importance placed on rare-earth materials, the U.S. imports less than $200 million worth annually. These materials are primarily used in magnets for industrial applications. With USA Rare up 117%, Energy Fuels up 20%, and MP Materials up 18% in the past five days, investors may want to wait before buying in.
Consideration is advised before investing in USA Rare Earth, as it was not among the 10 best stocks recently identified by The Motley Fool Stock Advisor team. This team has a history of identifying stocks that have produced significant returns. Don’t miss out on the latest top 10 list by joining Stock Advisor for potential investment opportunities.
Read more at Yahoo Finance: Why Rare-Earth Stocks Are Soaring Today