Business
USA Rare Earth Achieves Major Operational and Strategic Milestone with Commissioning of Phase 1a Magnet Production at Stillwater Facility
Allows USAR to Begin Fulfilling Customer Orders in 2Q26, With Further Capacity Expansion to Follow Critical Step in USAR’s Effort to Secure, Reshore and Grow
About this update from Usa Rare Earth, Inc.
[{"type":"text","content":"Allows USAR to Begin Fulfilling Customer Orders in 2Q26, With Further Capacity Expansion to Follow Critical Step in USAR’s Effort to Secure, Reshore and Grow a Globally Integrated Rare Earth Value Chain STILLWATER, Okla., March 26, 2026 (GLOBE NEWSWIRE) -- USA Rare Earth, Inc. (Nasdaq: USAR) (\"USAR\" or the \"Company\") today announced the successful commissioning of its commercial magnet production line (Phase 1a) at its facility in Stillwater, Oklahoma. This enables the Company to begin fulfilling customer orders for sintered neodymium-iron-boron (NdFeB) permanent magnets in the second quarter of 2026. “Today’s announcement is a major step in delivering on our ambition to build a global champion and the partner of choice in rare earth elements, oxides, metals and magnets,” said Barbara Humpton, Chief Executive Officer of USA Rare Earth. “It is also a testament to the hard work of our team and their dedication to our mission. As we scale production, we are proud to help reduce reliance on foreign manufacturing while serving industries critical to our nation and its allies.” Commissioning is a critical step in validating any manufacturing line for commercial production at scale. In this case, it represents the consistent, successful achievement of a complex, multi-step process to make commercial-grade permanent magnets. It begins with the formation of rare earth and metallic elements into a powder, then jet milling this powder to 3-5 microns in size (around 20 times finer than a human hair) in an oxygen-restricted environment. This extremely fine powder is “wet pressed” into large blocks, which are then machined, coated and magnetized to form the final product: high-grade permanent magnets that are essential to the aerospace and defense, semiconductor, energy, data center, physical AI, mobility, healthcare and numerous industrial sectors, particularly where reliability at very high temperatures is required. This process is managed from start to finish by the more than 100 employees of USAR’s Stillwater facility. Phase 1a is expected to ramp to a run rate capacity of 600 mtpa by the end of Q4 2026. Combined with the production expected from the next line (Phase 1b), USAR anticipates total active production capacity at Stillwater of 1,200 mtpa in Q1 2027. About USA Rare Earth USA Rare Earth, Inc. (Nasdaq: USAR) is building a glob...