US rare earth companies are facing a talent shortage that could complicate Washington's push to rebuild domestic supply chains for metals used in consumer electronics, electric vehicles and military-grade weapons. Energy Fuels (UUUU), a US company expanding a rare earth facility in Utah while drawing on workers with uranium-processing experience, has become one of the firms relying on scarce technical know-how as the Trump administration pours billions of dollars into reducing dependence on China. Jack Lifton, an 86-year-old engineer-turned-consultant whose clients include Energy Fuels, has become a sought-after adviser because few Americans still have experience processing rare earth elements at commercial scale.
The challenge appears especially important for investors because rare earth plants can be expensive, technically demanding and difficult to staff, particularly in the US, where permitting timelines are longer than in mining-friendly countries in Asia and South America. MP Materials NYSE:MP, the owner of the only operating rare earth mine in the US, sued USA Rare Earth, a company involved in rare earth processing and magnet manufacturing, in May, accusing the rival of recruiting a senior engineer and seven other employees along with proprietary information. Ramaco Resources NASDAQ:METC, another aspiring US rare earth producer, separately sued a former employee now working at USA Rare Earth, alleging that he shared proprietary research with the company.
The talent gap may also shape how quickly newer projects can move from funding and policy support into production. Aclara Resources, a Brazilian company developing a Louisiana processing plant for refined terbium and dysprosium, has hired recent graduates with little prior rare earth experience, while USA Rare Earth acquired a 12.5% stake in Carester SAS, a French consulting and technology company that uses veteran specialists to design separation facilities and advise clients. Investors may view the issue as a reminder that rebuilding a Western rare earth supply chain could take years, as China has spent decades building universities, research institutes and industrial expertise across mining, separation and magnet production.