USA Rare Earth and PolarStar Innovations Sign Memorandum of Understanding for Delivery of U.S.-Made Neo Magnets
USA Rare Earth (NASDAQ: USAR) has signed a memorandum of understanding (MOU) with PolarStar Magnetics, a manufacturer of programmable magnets and Tier 2 supplier for aerospace projects requiring DFARS-compliant magnets. The partnership follows USAR's recent commissioning of its Innovations Lab in Stillwater, Oklahoma on March 31. Through this collaboration, PolarStar will participate in early-round testing of US-made magnets at USAR's facilities, with discussions progressing toward a detailed multi-year supply agreement. This partnership represents another step in USAR's mission to establish a domestic rare earth magnet supply chain for both critical U.S. industries and consumer products.
USA Rare Earth (NASDAQ: USAR) ha firmato un memorandum d'intesa (MOU) con PolarStar Magnetics, produttore di magneti programmabili e fornitore di secondo livello per progetti aerospaziali che richiedono magneti conformi al DFARS. La collaborazione segue l'inaugurazione del laboratorio di innovazione di USAR a Stillwater, Oklahoma, avvenuta il 31 marzo. Grazie a questa partnership, PolarStar parteciperà ai test preliminari sui magneti prodotti negli Stati Uniti presso le strutture di USAR, con trattative in corso per un accordo di fornitura pluriennale dettagliato. Questa collaborazione rappresenta un ulteriore passo nella missione di USAR di creare una filiera nazionale di magneti in terre rare per industrie critiche statunitensi e prodotti di consumo.
USA Rare Earth (NASDAQ: USAR) ha firmado un memorando de entendimiento (MOU) con PolarStar Magnetics, fabricante de imanes programables y proveedor de nivel 2 para proyectos aeroespaciales que requieren imanes compatibles con DFARS. Esta alianza sigue a la reciente inauguración del Laboratorio de Innovación de USAR en Stillwater, Oklahoma, el 31 de marzo. A través de esta colaboración, PolarStar participará en las pruebas iniciales de imanes fabricados en EE. UU. en las instalaciones de USAR, con conversaciones avanzando hacia un acuerdo de suministro multianual detallado. Esta asociación representa otro paso en la misión de USAR de establecer una cadena de suministro nacional de imanes de tierras raras para industrias críticas de EE. UU. y productos de consumo.
USA Rare Earth (NASDAQ: USAR)는 프로그래머블 자석 제조업체이자 DFARS 준수 자석을 필요로 하는 항공우주 프로젝트의 2차 공급업체인 PolarStar Magnetics와 양해각서(MOU)를 체결했습니다. 이번 파트너십은 3월 31일 오클라호마 주 스틸워터에 위치한 USAR 혁신 연구소 개소에 이은 것입니다. 이번 협력을 통해 PolarStar는 USAR 시설에서 미국산 자석의 초기 테스트에 참여하며, 다년간의 상세 공급 계약을 위한 논의가 진행 중입니다. 이 파트너십은 미국 내 주요 산업과 소비재를 위한 희토류 자석 공급망 구축이라는 USAR의 목표에 또 한 걸음 다가가는 계기입니다.
USA Rare Earth (NASDAQ : USAR) a signé un protocole d'entente (MOU) avec PolarStar Magnetics, un fabricant d'aimants programmables et fournisseur de niveau 2 pour des projets aérospatiaux nécessitant des aimants conformes aux normes DFARS. Ce partenariat fait suite à l'inauguration récente du laboratoire d'innovation de USAR à Stillwater, Oklahoma, le 31 mars. Dans le cadre de cette collaboration, PolarStar participera aux premiers tests des aimants fabriqués aux États-Unis dans les installations de USAR, avec des discussions en cours pour un accord d'approvisionnement pluriannuel détaillé. Ce partenariat représente une nouvelle étape dans la mission de USAR visant à établir une chaîne d'approvisionnement nationale d'aimants en terres rares pour les industries critiques américaines ainsi que pour les produits grand public.
USA Rare Earth (NASDAQ: USAR) hat eine Absichtserklärung (MOU) mit PolarStar Magnetics unterzeichnet, einem Hersteller programmierbarer Magnete und Tier-2-Lieferanten für Luft- und Raumfahrtprojekte, die DFARS-konforme Magnete benötigen. Die Partnerschaft folgt auf die kürzliche Eröffnung des Innovationslabors von USAR in Stillwater, Oklahoma, am 31. März. Im Rahmen dieser Zusammenarbeit wird PolarStar an frühen Testphasen von in den USA hergestellten Magneten in den Einrichtungen von USAR teilnehmen, wobei Gespräche über eine detaillierte mehrjährige Liefervereinbarung voranschreiten. Diese Partnerschaft stellt einen weiteren Schritt in USARs Mission dar, eine inländische Versorgungskette für seltene Erden-Magnete sowohl für kritische US-Industrien als auch für Konsumgüter aufzubauen.
- Strategic partnership with PolarStar Magnetics provides access to aerospace and defense sectors
- Early-round testing opportunity at USAR's Innovation Lab facilities
- Potential multi-year supply agreement in discussion
- Alignment with DFARS compliance requirements for defense industry
- None.
Insights
USAR's MOU with PolarStar advances its domestic rare earth magnet supply chain strategy, targeting defense contracts requiring DFARS compliance.
This memorandum of understanding between USA Rare Earth and PolarStar Magnetics represents a strategic milestone in USAR's mission to establish a domestic rare earth magnet supply chain. The partnership has significant implications for both national security and commercial applications.
The timing is noteworthy, coming shortly after USAR's March 31 commissioning of its Innovations Lab in Stillwater, Oklahoma. This signals accelerating momentum in USAR's operational capabilities. The company is positioning itself as a solution to America's critical vulnerability in rare earth magnets, with China currently controlling approximately 90% of global production.
PolarStar brings valuable defense industry connections as a Tier 2 supplier for aerospace projects requiring DFARS compliance. This compliance is mandated by the Department of Defense, requiring certain materials to be sourced domestically or from approved allies. The partnership provides USAR with an established channel into the defense industrial base, which offers premium pricing and long-term contracts.
For PolarStar, the arrangement provides early access to domestically-produced magnets, potentially giving them a competitive advantage as regulations tighten around critical mineral sourcing. The mention of "programmable magnets" suggests applications in precision systems where magnetic field characteristics must be precisely controlled.
While this MOU doesn't include financial details or binding commitments yet, it establishes a framework for a future multi-year supply agreement. The strategic value lies in both companies positioning themselves ahead of increasingly stringent DoD requirements for domestic sourcing of critical materials, creating potential long-term revenue opportunities in the defense sector.
New Partnership Signals Continued Interest in American Manufacturers Seeking US-Made Magnets
STILLWATER, Okla., May 27, 2025 (GLOBE NEWSWIRE) -- USA Rare Earth, Inc. (Nasdaq: USAR) (USAR or the Company), which is building out America’s first fully domestic rare earth element magnet production supply chain that includes the mining and processing of heavy rare earths and other critical minerals, today announced it has signed a memorandum of understanding (MOU) with Shoreview, MN-based PolarStar Magnetics (PolarStar). PolarStar manufactures programmable magnets. PolarStar offers a range of products designed for superior magnetic attachment on thin ferrous surfaces and is a Tier 2 supplier for projects in the aerospace sector that require Defense Federal Acquisition Regulation Supplement, or DFARS-compliant magnets.
The MOU reflects USAR’s mission to establish and secure a domestic rare earth magnet supply chain for both critical U.S. industries and everyday consumer products. Following the March 31 commissioning of its Innovations Lab in Stillwater, Oklahoma, this partnership is another important milestone in the Company’s journey to bring the rare earth magnet industry back to the United States.
“We are on a quest to bring high-powered magnet production back the to the U.S. and are pleased to partner with such an innovative company involved in high-growth and high-value magnetic applications,” said Joshua Ballard, CEO of USA Rare Earth. “We look forward to working with PolarStar to develop a true partnership in providing Made-in-USA designated and DFARS-compliant high-powered magnets to the defense industry, among others.”
Using the available capacities of USAR’s facilities, PolarStar will be included in early-round testing of U.S. made magnets, providing the manufacturer an avenue to accelerate prototype magnet capabilities. Discussions will now progress toward a detailed multi-year supply agreement.
“We are thrilled to be included in the early-round testing and supply of U.S.-made magnets at USA Rare Earth’s Innovations Lab,” said Ryan Harris, General Manager for PolarStar. “This strategic partnership will allow us and our customers to comply with the new and upcoming DoD requirements."
For more information, please visit USARE.com and connect with us on LinkedIn and X.
About USA Rare Earth
USA Rare Earth is building a vertically integrated, domestic rare earth magnet production supply chain. USAR is currently constructing a 310k square foot rare earth sintered neo magnet manufacturing facility in Stillwater, Oklahoma. USAR also controls mining rights to the Round Top Mountain rare earth and critical minerals deposit in West Texas, which holds significant deposits of heavy rare earths, such as dysprosium and terbium, as well as gallium, beryllium, lithium and other critical tech minerals. USAR’s permanent neo magnets and rare earth minerals are required for a wide variety of products used in the defense, automotive, aviation, industrial, medical, and consumer electronics industries.
Forward-Looking Statements
Certain statements made in this press release are "forward-looking statements" within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements may generally be identified by the use of words such as "estimate," "projects," "expects," "anticipates," "forecasts," "plans," "intends," "believes," "seeks," "may," "will," "would," "should," "future," "propose," "potential," "target," "goal," "objective," "outlook" and variations of these words or similar expressions (or the negative versions of such words or expressions) are intended to identify forward-looking statements.
These forward-looking statements include, but are not limited to, statements regarding the financial position, business strategy, and the plans and objectives of management for future operations. These statements are based on various assumptions, whether or not identified in this communication, and on the current expectations of USA Rare Earth’s management and are not predictions of actual performance. These forward-looking statements are provided for illustrative purposes only and are not intended to serve as and must not be relied on by any investor as a guarantee, an assurance, a prediction or a definitive statement of fact or probability. These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside the control of the parties, that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements. The Company undertakes no obligation to update these statements for revisions or changes after the date of this presentation, except as required by law.
Investor Relations Contact:
Lionel McBee
VP, Investor Relations
IR@usare.com
Media Relations Contact:
Cricket PR
Brian Hyland
(201) 410-4563
USARE@cricketpr.com
FAQ
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