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2025-11-04 02:27:12
The U.S. Commerce Department and the Pentagon pledged on Monday to provide financing and potentially equity to a domestic rare earth magnet producer. The Commerce Department signed a non-binding preliminary letter of intent to provide Vulcan Elements with $50 million to purchase equipment for the production of permanent magnets needed for critical products such as fighter jets and wind turbines, in accordance with the 2022 Chip Act. North Carolina-based Vulcan Elements said it will receive a $620 million direct loan and $550 million in private capital from the Pentagon's Strategic Capital Office to build a 10,000-ton magnet factory in the United States. CEO John Maslin said in an interview that it was a "dream come true," stating that this was to increase existing capacity and reach a scale meaningful to the nation.
