MP Materials nears full production, set to deliver magnets to GM in Q4 2026

MP Materials’ Fort Worth, Texas facility is producing prototype NdFeB permanent magnets for General Motors, with commercial shipments slated to begin in the fourth quarter of 2026.

The numbers behind the magnets

MP Materials’ Independence plant in Fort Worth is targeting annual production capacity of 3,000 tonnes of NdFeB magnets. GM has locked in a contract for roughly 1,000 tonnes per year, enough to supply magnets for its Ultium Platform EV motors. Each large Ultium motor requires 192 magnets, while smaller motors use 128.

The supply agreement underpinning all of this dates back to 2021-2022. MP’s Mountain Pass mine in California, the only operational rare earth mine in the US, logged 840 metric tons of NdPr oxide production in Q2 2026, a 41% increase compared to the same quarter last year.

NdPr oxide is the critical precursor for the neodymium-iron-boron magnets that make EV motors spin. Without it, you’re importing from China, which controls an estimated 60-70% of global rare earth mining and roughly 90% of processing capacity.

Scaling up with Pentagon backing

A larger second magnet factory in Northlake, Texas, is already under construction with financial backing from the US Department of Defense. That plant is expected to come online by 2028 and boost MP’s annual magnet production capacity to approximately 10,000 tonnes.

MP Materials is also preparing to commission heavy rare earth separation capabilities for dysprosium and terbium later this year. These elements are essential additives that improve magnet performance at high temperatures. The ability to separate dysprosium and terbium domestically would close one of the last remaining gaps in a fully US-based rare earth supply chain, from mine to finished magnet.

Why China’s grip on rare earths matters

China spent decades building out rare earth processing infrastructure while Western countries largely didn’t bother, resulting in a supply chain bottleneck that gives Beijing enormous leverage. China has periodically restricted rare earth exports, most recently tightening controls on several critical minerals as trade tensions with the US escalated.

GM’s Ultium platform underpins a wide range of electric vehicles, from the Cadillac Lyriq to the Chevrolet Equinox EV. The multi-year agreement between GM and MP Materials has included precursor product deliveries for testing.

What to watch from here

The Q4 2026 commercial shipment date is the milestone that matters most. MP Materials will need to demonstrate consistent quality at volume while simultaneously ramping up its oxide production at Mountain Pass and commissioning new separation capabilities.

The Northlake expansion, with its 10,000-tonne target capacity by 2028, would position the US as a meaningful player in global magnet production for the first time in a generation.

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