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| Ucore Rare Metals |
China’s Export Ban Reinforces Need for a North American Supply Chain
Ucore Rare Metals Inc. [TSXV: UCU; OTCQX: UURAF] has acknowledged China’s latest move to impose export restrictions on critical rare earth elements (REEs), effective April 4, 2025. The restrictions, announced jointly by China’s Ministry of Commerce and the General Administration of Customs, apply to seven key medium and heavy rare earth elements: samarium, gadolinium, terbium, dysprosium, lutetium, scandium, and yttrium.
Strategic Response and Ucore’s Role
China’s decision highlights the urgency of establishing an independent rare earth supply chain in North America. Ucore is actively working to mitigate these supply chain vulnerabilities through its proprietary RapidSX™ rare earth refining technology and strategic initiatives, including:
U.S. Department of Defense Collaboration: Ucore is advancing its RapidSX™ Commercial Demonstration Plant in Kingston, Ontario, under a $4 million contract with the U.S. Department of Defense. The facility aims to showcase the commercial viability of RapidSX™ technology for processing heavy rare earth elements.
Louisiana Strategic Metals Complex (SMC): Ucore is developing the Louisiana SMC in Alexandria, Louisiana, to process both heavy and light mixed rare earth concentrates, reducing reliance on foreign sources.
Government Support: Ucore has secured a $4.28 million funding agreement from the Government of Canada to demonstrate the commercial efficacy of RapidSX™ technology. The company also has a non-binding Letter of Intent with the State of Louisiana for grants, tax incentives, and payroll rebates totaling an estimated $15 million.
U.S. Government Actions and National Security
On March 20, 2025, President Trump invoked the Defense Production Act to address America’s reliance on foreign mineral production, calling for initiatives to boost domestic production of critical minerals, including REEs. Ucore continues to collaborate with the U.S. Department of Defense to establish a secure North American supply chain.
Securing a Rare Earth Future
Ucore’s long-term strategy includes disrupting China’s dominance in the REE market through the development of processing facilities in Louisiana, Canada, and Alaska, as well as the establishment of the Bokan-Dotson Ridge Rare Heavy REE Project in Southeast Alaska. With RapidSX™ technology at its core, Ucore is positioning itself as a leader in North American rare earth processing.
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