Nintendo’s Switch 2 videogame machine uses a rare-earth magnet to attach its hand-held controllers to the main console, according to a teardown.

Shares of Australian rare earths miners, including Lynas and Iluka Resources , soared on Friday after U.S.-based MP Materials' a multibillion-dollar deal with the U.S. government to boost production of rare earth magnets.

A diplomatic breakthrough with China is the only short-term fix for easing the shortage of rare-earth magnets, a top executive at one of the largest auto components maker said, as the exports curbs by the East Asian nation chokes the production of electric vehicles.

China's export curbs cast a pall of gloom over Indian industries requiring rare earth magnets. Now, the government is set to incentivize local magnet manufacturing.

The US Department of Defense (DOD) is making a major investment in the California rare earth company MP Materials to catalyze the establishment of a US supply chain for rare earth magnets. US rare earth producers face a long road ahead, but industry observers say the DOD’s backing will be a significant push forward.

Rare-earth miner MP Materials said this morning the U.S. Department of Defense is making a big investment in its rare-earth magnets business, sending its stock price up 60% in morning trading. Now, investors in another rare-earths start-up, USA Rare Earth ( USAR 17.88%), are wondering if their company might be next in line.

(Reuters) -MP Materials said on Thursday it has entered into a public-private partnership with the U.S. Department of Defense to build-out domestic rare earth magnet supply chain and reduce foreign dependency, sending shares up 30% in premarket trading.

Materials Nexus discovered a new rare-earth-free magnet called MagNex with the help of AI - here’s how they did it.

The move comes against the backdrop of China imposing export restrictions on Rare Earth magnets amid rising global trade tensions.