A U.S. startup, Phoenix Tailings, is working to break China's dominance in rare-earth processing, a critical industry for technologies like electric vehicles and fighter jets. While China refines over 90% of the world's rare earths, U.S. researchers and companies like Phoenix Tailings and MP Materials are attempting to reestablish domestic capabilities. This effort faces challenges due to China's established industrial policy and lower production costs, making it difficult for smaller companies to compete.