U.S. Rare Earths Inc. (USAR.O) announced on January 26 that the Trump administration will provide it with 1.6 billion U.S. dollars in equity-debt combined financing support to help the company build mines and magnet production bases in Texas, serving the rare earth demand in national defense and high-tech fields. Earlier, the U.S. Department of Commerce planned to acquire a 10% stake in the company, a move regarded as an important measure by the United States to promote the autonomy of critical minerals.

Stimulated by this news, the stock price of U.S. Rare Earths soared more than 60% before the market, boosting the sentiment of the global rare earth sector. In the current global rare earth supply chain pattern, the United States is highly dependent on imports. This layout aims to reduce reliance on external supplies and strengthen the resilience of the local industrial chain. Analysts believe this move may intensify the global competition for rare earth resources and drive fluctuations in rare earth product prices.

Meanwhile, the Trump administration upgraded its tariff policy, announcing an increase in tariffs on South Korean goods such as automobiles, wood, and pharmaceuticals from 15% to 25%. This led to a collective decline in South Korean auto stocks before the market, with Hyundai Motor, Kia, and Hyundai Mobis falling more than 4%. The South Korean government has stated that it will hold a special meeting to study response measures.