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MP Materials has sued USA Rare Earth in the United States, and Beijing has reportedly listed both groups.
MP Materials has brought a claim against USA Rare Earth in the United States, while a press report says Beijing has placed both groups on an export control list. The available sources do not provide the primary court filing or a Chinese regulatory reference.
The claim brought by MP Materials
The National reports that MP Materials filed a claim in May against USA Rare Earth in the United States, referring to information published by Bloomberg when the filing was made . The proceedings concern a group that is also active in rare earths in the United States, according to the same article . The text places the dispute between two companies involved in US rare earth projects, without publishing a primary court reference or case number .
According to The National, MP Materials is seeking USD 5 million in damages in its claim . The reported allegation concerns the alleged theft of MP Materials' proprietary technology through a former employee . The article states that the former employee cited is a former MP Materials engineer .
The text mentions, among the matters alleged in the claim, "grain boundary diffusion" formulations that were allegedly shared with USA Rare Earth . The National does not reproduce the claim and does not set out the technical nature of the formulations cited . The article also does not publish a procedural timetable, the court seised, or a hearing date .
USA Rare Earth disputed the allegations in a statement cited by The National . A company representative states: "USA Rare Earth believes that the lawsuit is completely without merit and was filed for an improper purpose. We have denied the claims in court and will respond more thoroughly through the legal process" . That quotation indicates that USA Rare Earth says it has denied the allegations before the court seised and will provide a fuller response in the course of the proceedings .
The National says it sought comment from MP Materials . According to the article, MP Materials did not respond to that request . The file available here therefore rests on the press account published by The National and does not contain the claim, the filed documents, or a court ruling relating to the reported allegations .
The Chinese list mentioned by the article
The National reports that China has placed MP Materials and USA Rare Earth, together with eight other companies, on a list targeting companies presented by Beijing as linked to assistance for the US military . The article links that measure to new Chinese export restrictions, without reproducing the corresponding Chinese text . In the extract available, The National does not cite an identifiable primary Chinese regulatory reference, text number, or official Chinese publication .
The same article states that MP Materials operates the Mountain Pass project in California . The National presents Mountain Pass as the only operating US rare earth site . The text also states that MP Materials has a joint venture with the Saudi mining company Maaden, through its partnership with the US Department of Defense .
Motley Fool, for its part, states that MP Materials owns and operates the Mountain Pass mine in California . The site is described as one of the richest rare earth concentrations in the world and as the only active rare earth mine in the United States . Motley Fool cites a total rare earth element concentration of about 7% to 9% for that deposit .
The National also includes USA Rare Earth within the scope of the reported Chinese measure . The article states that the US government plans to take a minority stake in USA Rare Earth, a group based in Oklahoma . It describes USA Rare Earth as the producer behind a large magnet facility in Stillwater and the developer of the Round Top Mountain deposit in Texas .
The available source does not provide the full list of the eight other companies cited alongside MP Materials and USA Rare Earth . Nor does it set out the detailed legal scope of the Chinese list mentioned, the product codes concerned, any exceptions, or the administrative arrangements associated with the reported export restrictions .
Sources cited
- thenationalnews.com - États-Unis - un litige oppose MP Materials et USA Rare Earth sur fond de contrôles chinois
- fool.com - 2 Reasons to Buy MP Materials Stock, and 1 Reason to Sell - The Motley Fool