USA Rare Earth Inc. (NASDAQ:USAR) shares are trading higher, likely moving in sympathy with rare earth peers following a new U.S.-Greenland security agreement, even though the company holds no assets in Greenland itself.
President Donald Trump announced that the U.S. has reached a new security agreement with Denmark and Greenland, claiming Washington has secured “permanent control” over the territory’s security affairs, with plans to expand military deployment and block adversaries from making sensitive investments without U.S. approval. The deal is expected to be finalized during the United Nations General Assembly. The news has sparked sharp gains across Greenland-focused mining and rare earth stocks, most notably Critical Metals Corp. (NASDAQ:CRML), which holds a 92.5% stake in Greenland’s Tanbreez rare earth project and surged roughly 25% on the news.
USA Rare Earth operates entirely outside Greenland, with assets spanning the United States, United Kingdom, France, and Brazil, including its Round Top deposit in Texas and magnet manufacturing operations in Stillwater, Oklahoma. According to 24/7 Wall St., the stock’s gain reflects a thematic sympathy trade tied to broader momentum in the rare earth sector rather than any direct asset-level benefit from the Greenland agreement, since Trump’s renewed push to secure Western rare earth supply chains outside China tends to lift the entire sector when headlines like this emerge.
USAR Price Action: At the time of publication, USA Rare Earth shares are trading 8.52% higher at $16.68, according to data from Benzinga Pro.
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