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."

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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.