Trump administration and private investors sign off on $1.4 billion deal with rare earth startups

[In It to Win It]

WASHINGTON (AP) — The Trump administration and private investors are partnering with two rare earth startups in a $1.4 billion deal to scale up the nation's access to materials and technology that is crucial for producing an array of high-tech goods and military equipment.

The investment in Vulcan Elements and ReElement Technologies is the latest stake taken by the U.S. in a handful of private companies — including another rare earths company and chipmaker Intel — since President Donald Trump began his second term in January. The White House has made it a priority to bolster the nation's supply chain in a market dominated by China.

Vulcan Elements manufactures rare earth magnets, while ReElement processes rare earth mineral ores and recycles old batteries and other products made with rare earths.

Rare earths are used in fighter jets, guided missiles, drones and nuclear submarines as well as smartphones and wind turbines.

The influx of cash will allow Vulcan and ReElement to ramp up their annual magnet production to 10,000 tonnes annually, the companies said.

https://www.yahoo.com/finance/news/trump-administration-private-investors-sign-184444814.html

[Diraven]

1. I wonder what Trump's own cut is?

He basically doesn't do anything unless he's bribed anymore.

[AZJonnie]

2. If the supply chain issue was fixable with a simple infusion of cash, someone(s) would have already done so

a long freaking time ago, I suspect.

BTW, how the fuck does "The Trump Administration" have this kind of cash to throw around without Congressional approval? What, he just decides now where the taxpayers money goes?

[In It to Win It]

6. Read this in another article

Under the deal, the military will provide Vulcan Elements with a $620 million loan from its Office of Strategic Capital, while an additional $50 million will come from the Department of Commerce under the CHIPS and Science Act.

The Office of Strategic Capital will also give ReElement Technologies an $80 million loan to expand its recycling and processing operation.

The press release states the Commerce Department will get $50 million worth of equity in Vulcan Elements while the Pentagon will get “warrants” in both Vulcan Elements and ReElement Technologies.

https://thehill.com/policy/energy-environment/5587038-trump-rare-earth-magnets-vulcan-reelement/amp/

[leftstreet]

3. So we the people will be stakeholders?

wut?

[maxrandb]

4. Fascism

Fascism controls business through a partnership with the state, where private ownership exists but is subordinate to government goals. Under this system, often called corporatism, the government uses syndicates and planning agencies to regulate production, prices, and wages, and to prioritize national interests over individual profit, sometimes even directing subsidies and funding to favored large corporations.
This arrangement suppresses independent labor movements and aims for national self-sufficiency, often leading to protectionist policies.

How fascism controls business
Government partnership: Private businesses operate, but their activities are guided and controlled by the government. The state is the senior "partner" in any business-government "partnership".
Syndicates and corporations: The government organizes businesses into state-controlled syndicates (trade groups) based on industry. These syndicates are then overseen by government planning agencies called "corporations".

Regulation: The state sets product lines, production levels, prices, wages, and working conditions. Licensing is ubiquitous, and no economic activity can occur without government permission.
The economy is subordinate to the state's goals, such as national self-sufficiency which often leads to protectionism and strict control over imports.

The government pursues policies that benefit its business allies, such as providing subsidies, while businesses support the government's political and military objectives.

Monopolistic tendencies: The system tends to be monopolistic because it is easier for the state to control a few powerful leaders and firms. The system allows for private profit, but only as long as it serves the national interest as defined by the state. "Excess" profits can be taken through taxes or "loans".

[Torchlight]

5. Given the amount of monazite‑bearing sands

I'm beginning to clue myself in on Mr. trump's concern about Nigeria all of a sudden, especially as supply‑chain diversification becomes more important.

[DFW]

7. Well, damn! It looks like I sold those two kilograms of iridium too soon!

Oh, well................