Shares of USA Rare Earth Inc. (NASDAQ: USAR) surged 6.8% in after-hours trading on Thursday, October 2, 2025, following the news that CEO Barbara Humpton’s has confirmed that there was “close communication” with the White House regarding potential strategic partnerships. Humpton’s remarks were made during an interview with CNBC’s Morgan Brennan. During the interview Humpton had emphasized the company’s commitment to keeping the administration informed of its plans.
This development coincides with the Trump administration’s recent investments in critical minerals. Earlier this week, the Trump administration acquired a 5% equity stake in Lithium Americas (NYSE: LAC), a strategic move aimed at bolstering domestic lithium production. Additionally, in July, the Department of Defense took a 15% stake in MP Materials (NYSE: MP), the only active rare earth mine in the U.S., as part of efforts to reduce dependence on foreign sources for critical materials.
USA Rare Earth, under Humpton’s leadership, is advancing a “mine-to-magnet” strategy, which includes the development of a rare earth mine in Sierra Blanca, Texas, and a magnet production facility in Stillwater, Oklahoma. The company’s recent acquisition of Less Common Metals (LCM), a U.K.-based rare earth metals and alloys manufacturer, further strengthens its position in the supply chain.
Humpton, who had previously served as CEO of Siemens USA, brings extensive experience in managing complex, technology-driven organizations. Her leadership is seen as pivotal in positioning USA Rare Earth as a key player in the U.S. effort to establish a robust domestic rare earth supply chain.
The Trump administration’s proactive approach to securing strategic investments in critical industries, including rare earths, pharmaceuticals, AI, energy, and mining, reflects a broader strategy to enhance U.S. manufacturing capabilities and reduce reliance on foreign sources.
Investors are closely monitoring these developments, as they signal a shift towards increased federal involvement in private enterprise to strengthen national security and economic resilience.
Pump Radar
Stock Alerts