MP Materials unveiled a multibillion-dollar deal with the U.S. government on Thursday to boost output of rare earth magnets and help loosen China's grip on the materials used to build weapons, electric vehicles and many electronics.

MP Materials secures U.S. deal to boost rare earth output, cut China reliance, and stabilize EV and defense supply chains.

Shares in MP Materials jumped after it struck an unusual deal with the Defense Department. The government will take a 15% stake in the rare-eart