Archive · 30 Dec 2025
US Startup Challenges China's Rare-Earth Monopoly
A small company in the United States called Phoenix Tailings is trying to make rare-earth metals without relying on China.
These metals are important for things like electric cars and medical machines.
China controls most of the world's supply, but Phoenix Tailings wants to change that.
They use special machines to turn powder into metal without causing pollution.
The company got help from the US government and investors to grow.
They hope to make more metal and sell it to car companies and the military.
It's hard to compete with China, but they are trying to make it work.
Phoenix Tailings processes rare-earth metals in New Hampshire to reduce dependence on China.
The company uses a closed-loop system to minimize emissions and pollution.
Phoenix Tailings has received over $6 million in federal funding and is valued at $189 million.
The company's primary customers are in the auto industry and U.S. defense contractors.
China's dominance in the rare-earth market makes it difficult for competitors to assess demand and pricing.
- Who
- Phoenix Tailings, a US startup
- What
- Processing rare-earth metals to challenge China's dominance
- When
- Company was near bankruptcy in late 2024, now operational
- Where
- Exeter, New Hampshire
- Why
- To reduce dependence on China for rare-earth metals and secure domestic supply
- Company Name
- Phoenix Tailings
- Location
- Exeter, New Hampshire
- Company Valuation
- $189 million
- Federal Funding
- Over $6 million
- Primary Customers
- Auto industry and U.S. defense contractors
- Global Demand Coverage
- 1% of global demand
- Key Elements Processed
- Neodymium, praseodymium
- Investors
- CIA’s In-Q-Tel, BMW’s venture capital arm