# DFARS Expands Rare-Earth Sourcing Restrictions

DFARS 252.225-7052 takes effect January 1, 2027, extending rare-earth sourcing restrictions to mining, refining, and separation for NdFeB and SmCo magnets used in defense procurement. As of October 8, 2026, the effective date is 85 days away. The article ranks Lynas Rare Earths (8.7) and MP Materials (8.5) highest among the light rare-earth companies it discusses, while emphasizing that traceable, deliverable, customer-qualified supply—not strategic importance or ownership alone—will determine compliance readiness.

- Contractors subject to the provision must assess upstream sourcing and retain evidence that relevant materials meet the sourcing restrictions.
- Procurement teams should evaluate suppliers against traceability, delivery timelines, and customer qualification; projects coming online after January 1, 2027 may not resolve near-term supply gaps.
- Lynas Rare Earths and MP Materials are identified as leading companies in the article’s assessment, but the rankings alone do not establish available or qualified supply for a specific defense program.

**Jurisdictions:** federal
**Industries:** Defense & Military
**Topics:** Regulatory Compliance
**Published:** October 07, 2026

### Government Entities
- U.S. Department of Defense (DoD)

### Vendors
- Lynas Rare Earths (Rare-earth supplier assessed in the article)
- MP Materials (Rare-earth supplier assessed in the article)
- USA Rare Earth ()
- Southern Alliance Mining ()
- MCRE Resources ()

### Sources
- [DFARS 2027 Rare Earth Compliance Lynas MP Materials Ranked](https://rareearthexchanges.com/news/dfars-2027-rare-earth-supply-chain-rankings) - Rare Earth Exchanges