China Rare Earth Group in Talks to Acquire Stake in Shenghe Resources

Key Facts

1China Rare Earth Group is in discussions to acquire Shenghe Resources, a significant shareholder in U.S.-based MP Materials.

In a move reflecting Beijing's efforts to consolidate control over strategic mineral supply chains, China Rare Earth Group is reportedly in talks to acquire Shenghe Resources. According to reports, this transaction is particularly significant as the target company is a major shareholder in U.S.-based MP Materials, potentially placing the ownership structure of a critical American asset under scrutiny.

These developments emerge during a sensitive period for the global mining sector, where proposed mergers involving Chinese state-backed entities and shareholders of Western firms raise regulatory and geopolitical concerns. Per market data, the successful conclusion of these talks could reshape the indirect ownership of MP Materials, the only large-scale rare earth producer in North America.

At the close of September 18, 2026, the MP stock price stood at $47.26, having reached a daily high of $50.19. Traders are currently monitoring support levels near recent lows, awaiting any official announcements regarding the status of the talks or potential regulatory interventions from U.S. authorities to protect domestic supply security.