H.R. 7563: Rare Earth Magnet Market Revitalization Act

H.R. 7563 would block imports of certain rare earth magnets, magnet ingredients, and products that contain those magnets if they come from covered nations — unless an importer wins a waiver.

That means companies bringing in finished goods or components would need to trace where the magnets came from and, within 1 year of enactment, shift to other sources if they want to keep selling into the U.S. market. Commerce could still allow imports case by case if non-covered sourcing is not practical or if officials decide a waiver is in the national interest.

The bill is not only about bans. It also lets the Commerce Department support new manufacturing, processing, and recycling capacity outside covered nations through offtake agreements or price guarantees, which are tools meant to make investors more willing to finance new facilities.

The bill also lets Commerce stop exports of high-value e-waste containing rare earth magnets when that scrap could be recycled in the United States instead of shipped abroad.

The bill's findings argue that China's price and market manipulation has weakened private investment in U.S. and partner-country magnet supply chains. If that strategy works, the payoff is a more secure supply for industries that depend on these magnets; if it doesn't, companies could face higher costs, shortages, or both while trying to rewire their sourcing.