The US government provides financing to rare earth magnet manufacturers.

The U.S. Department of Commerce and the Pentagon on Monday promised to provide financing to a domestic rare earth magnet manufacturer, with the possibility of obtaining equity. According to a statement from the U.S. Department of Commerce, the department has signed a non-binding letter of intent to provide $50 million to Vulcan Elements under the 2022 Chip Act, for the purchase of equipment needed to produce permanent magnets for fighter jets, wind turbines, and a range of other critical products. Vulcan Elements, based in North Carolina, also stated that they will receive a direct loan of $620 million from the Pentagon's Strategic Capital Office, and $550 million in private capital, to build a 10,000-ton magnet factory in the United States. "Our dream has come true," said John Maslin, CEO of Vulcan Elements in an interview. "All of this is to increase our existing capacity and reach a scale that is meaningful for the country."