Australia's Ionic Rare Earths (IonicRE) has signed a memorandum of understanding (MoU) with Missouri-based US Strategic Metals (USSM) to establish a vertically integrated rare earth magnet recycling facility in the US.

The MoU, signed at an official ceremony at the Australian Embassy in Washington, will see the two companies collaborate to deploy Ionic Technologies’ patented rare earth permanent magnet recycling process at USSM’s fully permitted 728 ha site in Missouri.

The proposed recycling facility will initially focus on recovering magnet rare earth oxides (REOs) such as neodymium, praseodymium, dysprosium, terbium and samarium – key inputs for electric vehicles, wind turbines and defence technologies. Production is expected to support the US’ drive to eliminate Chinese-sourced rare earths from its industrial and defence supply chains by 2027.

The partnership also includes plans to expand into recycling other heavy rare earths and mixed rare earth carbonates, while exploring additional sites across the US.

IonicRE MD Tim Harrison said the agreement represented a major step in accelerating the company’s international expansion and in developing secure rare earth supply chains outside China.

“Magnet recycling is the fastest and lowest-cost pathway to developing an ex-China rare earth supply chain in the United States. IonicRE is leading this charge in this area, and we now look to replicate the capability we have demonstrated in the UK now in the USA to provide a key strategic supply of magnet and heavy rare earths into the USA supply chain,” he said.

“Now is the time to accelerate this technology, which we are capable of building globally to offer a resilient supply of high purity, separated REOs, delivered on a sustainable basis thanks to our proven low-emission technology.”

USSM, which operates a multi-metallic processing and refining platform in Missouri, will integrate the recycling technology into its existing infrastructure to enhance downstream critical mineral production.

USSM founder and CEO Stacy Hastie said the partnership aligned with the company's vision to be a leader in the establishment of new supply chains for critical minerals and heavy rare earths.

“US Strategic Metals’ processing and refining capabilities in Missouri are designed to meet America’s demand while collaborating with partners dedicated to responsible, secure, and sustainable sourcing. Working with IonicRE, we intend to accelerate technological progress and financial collaborations that will shape the future framework of domestic critical mineral supply chains.”

IonicRE executive chairperson Brett Lynch, who signed the MoU on behalf of the company, said the partnership directly supported the new US–Australia Critical Minerals Framework, signed in October by President Donald Trump and Prime Minister Anthony Albanese.

“There’s no bigger market than the United States and we are delighted to partner with USSM in delivering rare earth permanent magnet supply in Missouri, with potential for multiple recycling plants across the United States as part of our global expansion.”