MP Materials (MP) Stock Surges as China Tightens Rare-Earth Export Controls

TLDR

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MP Materials stock jumped 11% in premarket trading Monday after China tightened rare-earth export controls requiring government approval for foreign supplies.
The stock closed at a record high of $78.34 on Friday and has surged over 400% in 2025, making it the company’s best year ever.
China controls roughly 85% of global rare-earth refining capacity and moved to restrict exports earlier in 2025 due to trade tensions with the U.S.
President Trump said Friday the U.S. would retaliate against China’s export controls, though he posted Sunday that the China situation “will be fine.”
The Defense Department has invested in MP Materials to secure supply of critical materials like neodymium and praseodymium used in EVs and F-35 fighter jets.

MP Materials stock climbed 11% to $87.05 in premarket trading Monday. The move extended last week’s rally that saw the stock close at a record high of $78.34 on Friday.

The latest jump followed China’s Thursday announcement that foreign suppliers must now secure government approval to export certain products containing rare-earth minerals. China’s Commerce Ministry introduced the new requirements as part of broader trade measures.

Other rare-earth mining stocks followed MP’s lead. USA Rare Earth rose 23% in premarket trading while Ramaco Resources gained 5.9%. Even Albemarle, primarily a lithium miner, jumped 6.2% in early trading.

President Trump responded to China’s move on Friday, saying the U.S. would retaliate against the export controls. His comments came as rare-earth stocks were already climbing on the news from China.

MP Materials is the largest rare-earth producer in the Western Hemisphere. The company makes neodymium and praseodymium oxides at its Mountain Pass facility.

These materials are key components in magnets used across high-tech products. Applications include electric vehicles and F-35 fighter jets.

China dominates the rare-earth industry with an estimated 85% of global refining capacity. This control gives the country substantial leverage in trade negotiations.

The country first moved to restrict rare-earth exports earlier in 2025. Rising trade tensions with the U.S. prompted the initial restrictions.

The Defense Department stepped in to address supply concerns. The department invested in MP Materials to help secure access to critical materials for coming years.

Stocks Rally Despite Mixed Messages

MP Materials shares have gained more than 400% in 2025. The performance puts the stock on pace for its best year ever, according to Dow Jones Market Data.

Trump attempted to ease trade concerns Sunday evening. He posted on Truth Social that people shouldn’t worry about China, adding “it will be fine.”
The president wrote that Chinese President Xi “doesn’t want Depression for his country, and neither do I.” His comments appeared aimed at calming market fears about escalating trade tensions.

BREAKING: Trump just posted this about China.
Taco time. pic.twitter.com/b3smphowUD
— Spencer Hakimian (@SpencerHakimian) October 12, 2025

Broader market futures rose following Trump’s post. S&P 500 futures climbed 1.1% while Dow Jones Industrial Average futures gained 0.8%.

Recent Trading Activity

The rare-earth rally continued Monday morning despite Trump’s reassuring words. MP Materials led the sector higher in premarket trading.

Friday’s regular session saw MP Materials gain 8.7%. That jump pushed the stock to its previous record close before Monday’s premarket gains.

Analysts have maintained a positive outlook on MP Materials. TipRanks data shows the stock carries a Buy rating from analysts who see upside potential.

The current market cap stands at $13.87 billion. Average trading volume reaches 15.5 million shares, with technical indicators showing a buy signal.

MP Materials’ year-to-date price performance shows a gain of 377.97%. The stock opened Monday’s premarket session at $87.05, building on Friday’s momentum from China’s export control announcement.

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