What the hell are rare earth elements?

Summary

What the hell are rare earth elements? Rare earths are needed for EVs, smartphones, and fighter jets, but the United States lost the industry to China. Can it win it back? BY MARK DENT Over the last few weeks, an obscure subject has sowed panic and speculation among investors, the federal government, national security experts, and business leaders: rare earth elements. Commonly called “rare earths,” they encompass 17 elements on the periodic table that are found in underground ore deposits. They’re so useful that rare earths have been referred to as “21st-century gold.” They help break down petroleum into gasoline, enhance color on TV screens, and can be developed into small permanent magnets used in: Smartphones Headphones Electric vehicle motors F-35 jets Predator drones MRI machines Nuclear submarines Wind turbines But for the United States, there’s a problem: China has a stranglehold on rare earths. China produces ~60-70% of the world’s mined rare earths and, more importantly, does ~90% of the world’s processing of rare earths and ~95% of the production of permanent magnets. In April, responding to the Trump tariffs, China placed new restrictions on rare earth exports. This adds urgency to US plans for boosting its rare earths sector that started a few years ago and picked up in recent months. The Pentagon has subsidized rare earths processing plants, and a Trump executive order has attempted to expedite their permitting. The US also signed an investment deal with Ukraine that grants mineral access.