Vulcan Elements: Challenging China's Magnet Grip

0:00It's April 3rd, this is Durham News Today, local news powered by AI. One year ago, Vulcan Elements kicked off its pilot plant in North Carolina's research triangle park, with big names like a congressman and the Durham mayor on stage. This tiny start-up, just two years old, with a 30-year-old CEO and under 20 employees back then, aimed to challenge China's grip on rare earth. Magnets. Those key parts in everything from drones to phones. As forward, they've exploded to about 80 new hires, snagged Pentagon contracts, a $620 million defense department loan, and $50 million in commerce equity. Private cash rolled in too, $65 million including from a firm tied to Donald Trump Jr. sparking some political side-eye from both parties. Experts are skeptical though. China owns the market with cheap labor and scale, and even with US government buys, maybe $3,000 to $4,000 a year for the Pentagon Vulcan's plan 10,000-ton factory in

1:03Johnston County faces stiff competition from giants like MP Materials. The CEO, a former Navy finance guy, insists though out-cost China by staying fully decoupled and they're already making high-performance magnets at. Their site with nine Pentagon deals, three under Biden. Whether this $918 million taxpayer bet pays off into the world's top magnet hub, stays wide open, but with military demand. Rising, Vulcan's got a shot to reshape the game right here in the Tar Heel State.