US Invests $1.6B in USA Rare Earth
Is the rare earth investment securing U.S. national defense or is it a potentially shady deal requiring scrutiny?
Above: The USA Rare Earth logo displayed on a smartphone screen on Aug. 4, 2025. Image credit: Thomas Fuller/SOPA Images/LightRocket/Getty Images
The Spin
Pro-establishment narrative
Investing $1.6 billion in USA Rare Earth represents a decisive break from decades of dangerous dependence on China for critical minerals essential to national defense and economic security. The deal accelerates domestic production of heavy rare earths needed for F-35 fighter jets and advanced military systems while creating thousands of American jobs.
Establishment-critical narrative
Taking a 10% government stake in USA Rare Earth at a steep discount raises serious questions about using taxpayer money to prop up a company that hired the Commerce Secretary's son's firm. This interventionist approach must be looked at with scrutiny.
