Rare earth stocks soar after Trump threatens China with higher tariffs

Shares of rare earth metals companies soared on Friday, October 10. MP Materials rose 15%, USA Rare Earth 19%, NioCorp Developments almost 14%, and uranium producer Energy Fuels more than 10%.

Investors began buying up sector stocks following statements by Trump. He threatened China with higher tariffs, accusing Beijing of “holding the world captive” through its export controls on rare earth metals.

“I will be forced... to financially counter their move,” Trump wrote on Truth Social. “One of the policies that we are calculating at this moment is a massive increase of tariffs on Chinese products coming into the United States of America. There are many other countermeasures that are, likewise, under serious consideration.”

China this week tightened export controls on rare earths – critical inputs for weapons systems, robotics, EVs, and electronics. Beijing dominates the global rare earth supply chain, while the U.S. remains dependent on Chinese imports, CNBC noted.

The AI translation of this story was reviewed by a human editor.