On December 18, 2025, rare metals and critical-minerals stocks experienced a day of mixed trading on U.S. exchanges, as investors grappled with fresh signals from Beijing and the ongoing push by Washington to localize strategic supply chains. The sector’s midday scoreboard reflected this uncertainty, with major U.S.-listed names like MP Materials, USA Rare Earth, and Energy Fuels showing a blend of gains and losses as the market digested a crucial development from China’s Commerce Ministry.
According to Reuters, China announced that it had begun granting “general licences” for rare earth exports, a new permit category designed to expedite shipments of these vital inputs. Rare earth elements are essential for manufacturing everything from electric motors and wind turbines to advanced defense electronics. The move was interpreted by many as a potential easing of previous bottlenecks—a headline that could have significant implications for global supply chains and the companies that depend on them.
Yet, as often happens in the world of rare metals, the devil was in the details. China’s Commerce Ministry confirmed the issuance of general licences but stopped short of providing specifics on the number of licences granted or the precise terms attached. As Reuters noted, the implementation remained “murky,” leaving traders and analysts to speculate about the real-world impact of the policy shift. The lack of clarity was compounded by reports that, while suppliers to Ford had received new licences, there was no confirmation of a Europe-specific rollout. Europe’s trade chief acknowledged hearing initial reports but admitted that details were still lacking as of Thursday.
This blend of headline optimism and operational uncertainty contributed to choppy price action across the rare-metals sector. At around 12:04 p.m. ET, MP Materials traded at $52.03 (roughly flat for the day), USA Rare Earth hovered at $13.46 (down about 0.7%), and Energy Fuels climbed to $13.87 (up nearly 3%). Other notable names included Critical Metals Corp. at $7.21, NioCorp at $5.36, Perpetua Resources at $26.50, Lithium Americas at $4.53, Albemarle at $137.70, Trilogy Metals at $4.48, and the VanEck Rare Earth/Strategic Metals ETF at $72.07.
Market sentiment was also buoyed by a softer U.S. inflation print, with November’s Consumer Price Index running at 2.7% year-over-year, according to Reuters. This “risk-on” nudge, coupled with ongoing central bank divergence, provided a supportive backdrop for equities, though the rare-metals complex remained tethered to the shifting sands of global policy and supply dynamics.
For U.S. rare metals stocks, the introduction of faster export licences from China might seem, at first glance, to undercut the case for alternative supply chains. If scarcity fears ease, wouldn’t that be bearish for non-China producers? Not so fast. As Reuters and other outlets pointed out, the market continues to price these equities based on three overlapping themes: the persistent strategic dependence on China, the scramble among downstream buyers to secure supply, and Washington’s increasingly proactive role as a supply-chain backstop.
MP Materials, often regarded as a bellwether for the sector, exemplifies these dynamics. The company’s recent third-quarter report showed a year-over-year decline in its Materials segment revenue, attributed in part to a shift in sales mix. However, sales of NdPr oxide and metal—the building blocks for high-performance magnets—benefited from higher volumes and prices. MP’s multi-billion-dollar arrangement with the U.S. government, aimed at boosting domestic rare earth magnet supply, underscores the policy-driven nature of the business. As Reuters highlighted, this initiative is part of a broader effort to reduce U.S. dependence on Chinese materials for defense systems, electric vehicles, and electronics.
USA Rare Earth, meanwhile, is staking its future on building a U.S.-based magnet supply chain. The company plans to begin producing magnets at its Stillwater, Oklahoma facility using non-China sources, with key premanufacturing equipment expected to be installed by the end of the first quarter of 2026. Commercial production at the company’s Round Top deposit in Texas is now targeted for late 2028—a timeline that has been accelerated compared to previous projections. USA Rare Earth’s recent acquisition of Less Common Metals, a UK-based manufacturer, is seen as a strategic move to “de-risk” its feedstock needs by reducing reliance on China-linked sourcing, according to The Motley Fool.
Energy Fuels, trading at $13.87 (up nearly 3% on the day), occupies a unique niche as a “critical minerals crossover” rather than a pure-play rare earth company. However, the stock faces valuation concerns, with Investing.com pointing to negative EBITDA and EPS, as well as recent insider selling and at least one analyst downgrade. As the site put it, “sharp rallies can invite sharp corrections when fundamentals and price diverge.”
Beyond rare earths, the market’s focus has shifted toward processing capacity for other strategic metals. Earlier this week, the Financial Times reported on U.S. backing for a $7.4 billion Korea Zinc investment to build a critical minerals processing plant. The facility, expected to be operational later this decade, will produce antimony, germanium, and gallium—metals integral to semiconductors, defense systems, and advanced manufacturing.
Perpetua Resources, trading at $26.50, is riding a wave of optimism after securing permits for its Stibnite gold-antimony project in Idaho earlier this year. The Northern Miner described the achievement as evidence that major U.S. mine permits can still be obtained, though permitting remains a significant hurdle across the sector. For Perpetua, the appeal lies in its dual exposure to gold and strategic antimony, the latter of which is increasingly tied to U.S. supply-chain concerns.
Smaller-cap names also made headlines, with American Tungsten reporting visible tungsten mineralization at its IMA Mine project and Spartan Metals releasing drilling assay results from its Tungstonia tailings in Nevada. National Defense Magazine emphasized the growing political urgency around securing supplies of tungsten and other “hard-to-substitute” metals, especially for defense and aerospace applications.
Lithium, while not a rare earth, remains central to the strategic metals conversation due to its role in batteries and grid storage. Reuters reported a spike in China’s lithium carbonate futures after local authorities announced plans to revoke certain mining licences—though these were expired and not tied to operating mines. In the U.S., lithium bellwethers traded mixed, with Albemarle up 2.2% and Lithium Americas down 1.8%. The Wall Street Journal noted that 2025 had been a strong year for “green stocks,” with Albemarle among the major gainers despite policy headwinds.
Ultimately, the rare metals sector is being shaped by a confluence of factors: the opacity of China’s export licence regime, the momentum of U.S. industrial policy, company-specific execution milestones, valuation discipline in high-volatility names, and broader macroeconomic trends. As of midday on December 18, rare metals stocks were trading like the strategic assets they are—volatile, policy-sensitive, and central to the unfolding drama of global supply chains. The latest developments may have eased some immediate concerns, but they also reinforced the central investing premise of 2025: control of critical minerals is now a matter of policy as much as market forces.
In a sector where headlines and policy shifts can move billions in value in a matter of hours, investors and industry watchers alike will be keeping a close eye on both Beijing and Washington for the next twist in this ongoing saga.
