Artificial Intelligence Pushes Rare Earths Deeper Into U.S.-China Technology Rivalry

Highlights

• China controls approximately 90% of refined magnet rare-earth output and 90%+ of sintered permanent-magnet production, creating a strategic paradox for U.S. AI ambitions.
• The IEA forecasts data centers will account for roughly 50% of U.S. electricity-demand growth through 2030, driving massive systems-level materials demand.
• China's restrictions on yttrium have already caused supply disruptions and production losses among U.S. and Japanese companies.
• Investment opportunity extends beyond mining to metallization, alloys, magnets, grid equipment, motors, and qualified downstream manufacturing.