Malaysia Grants Rare-Earth Export Permit to US Firm
The government permit allows DTEC Mineral and Metal Technology to send 700 metric tons of rare-earth carbonate for US refining testing.
Updated on Oct. 27, 2026 in Electric Vehicles
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Malaysia has issued a permit for DTEC Mineral and Metal Technology to export 700 metric tons of rare-earth carbonate from Perak state to the United States. This move follows the recent release of new guidelines allowing conditional rare-earth exports for research and processing purposes.
Why it matters
The export permit aims to help Malaysia develop local refining capabilities and reduce global reliance on Chinese rare-earth supply chains. By partnering with US institutions, the country seeks to build its own domestic industry ecosystem for these critical materials.
Malaysia holds an estimated 16.1 million metric tons of rare-earth deposits. The current agreement permits the export of 700 metric tons, with an initial 30-ton shipment scheduled to depart for the US this weekend.
The players
DTEC Mineral and Metal Technology
This company is 51 percent owned by US citizens and is leading the effort to refine rare-earth materials.
Export-Import Bank of the United States
This official government agency supports US exports and is considering financing for international industrial infrastructure projects.
The details
The material, sourced from Perak, will be used by US companies and research institutions to test advanced separation and refining technologies. The Export-Import Bank of the United States has signaled interest in potentially providing up to US$650 million to support the development of a permanent refinery within Malaysia.
Timeline
Malaysia imposed a ban on raw rare-earth exports in 2024.
Malaysia released new guidelines on conditional rare-earth exports in October 2026.
An initial shipment of 30 tons is expected on October 31, 2026.
DTEC aims to complete processing plant construction in Malaysia by 2029.
Roadmap
This export permit signals a pivot in Malaysia's strategy to move up the value chain from raw material extraction to domestic processing. It positions the country as a emerging partner for the US in the broader effort to diversify the global supply of rare-earth components for electric vehicles.
Increased local refining capabilities for rare earths are essential to lowering the long-term production costs of electric vehicle battery magnets. This partnership could eventually stabilize the supply chain for manufacturers and reduce volatility in the market for clean energy vehicles.
The takeaway
Malaysia is leveraging its vast rare-earth deposits to transition into a value-added processing hub for global technology sectors. By opening these conditional export channels, the nation aims to foster industrial growth while strengthening technical partnerships with the United States.
What happens next
An initial shipment of 30 tons of rare-earth carbonate is scheduled to occur on October 31, 2026.
Further reading
Learn more about how the industry is securing supplies for Electric Vehicles.
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Should nations prioritize domestic control of raw mineral resources over forming international research partnerships?
