Sec. 2. Definitions

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In this Act: The term appropriate committees of Congress means— the Select Committee on Intelligence, the Committee on Energy and Natural Resources, the Committee on Commerce, Science, and Transportation, the Committee on Foreign Relations, the Committee on Armed Services, the Committee on Appropriations, the Committee on Banking, Housing, and Urban Affairs, the Committee on Homeland Security and Governmental Affairs, and the Committee on Finance of the Senate; and the Permanent Select Committee on Intelligence, the Committee on Energy and Commerce, the Committee on Foreign Affairs, the Committee on Armed Services, the Committee on Science, Space, and Technology, the Committee on Appropriations, the Committee on Financial Services, the Committee on Homeland Security, and the Committee on Ways and Means of the House of Representatives.

The term covered entity means a private entity, a consortium of private entities, or a consortium of public and private entities with a demonstrated ability to substantially finance, construct, expand, or technologically upgrade a covered facility. The term covered facility means a facility located in a State that carries out the metallurgy of rare earth elements for the production of finished rare earth products. The term covered incentive means— an incentive offered by a Federal, State, local, or Tribal governmental entity to a covered entity for the purposes of— constructing within the jurisdiction of the governmental entity a covered facility; or expanding or technologically upgrading an existing facility within that jurisdiction to be a covered facility; and a workforce-related incentive (including a grant agreement relating to workforce training or vocational education), any concession with respect to real property, funding for research and development with respect to rare earth elements and finished rare earth products, and any other incentive determined appropriate by the Secretary, in consultation with the Secretary of State.

The term finished rare earth product means a product composed of significant quantities of rare earth elements, including— metals; alloys; and permanent magnets. The term foreign entity means— a government of a foreign country and a foreign political party; a natural person who is not— a lawful permanent resident of the United States; a citizen or national of the United States; or any other protected individual (as defined in section 274B(a)(3) of the Immigration and Nationality Act ( 8 U.S.C. 1324b(a)(3) )); and a partnership, association, corporation, organization, or other combination of persons organized under the laws of or having its principal place of business in a foreign country.

The term foreign entity includes— any person owned by, controlled by, or subject to the jurisdiction or direction of an entity described in subparagraph (A); any person, wherever located, who acts as an agent, representative, or employee of an entity described in subparagraph (A); any person who acts in any other capacity at the order, request, or under the influence, direction, or control, of— an entity described in subparagraph (A); or a person the activities of which are directly or indirectly supervised, directed, controlled, financed, or subsidized in whole or in majority part by an entity described in subparagraph (A); any person who directly or indirectly through any contract, arrangement, understanding, relationship, or otherwise, owns 25 percent or more of the equity interests of an entity described in subparagraph (A); any person with significant responsibility to control, manage, or direct an entity described in subparagraph (A); any person, wherever located, who is a citizen or resident of a country controlled by an entity described in subparagraph (A); and any corporation, partnership, association, or other organization organized under the laws of a country controlled by an entity described in subparagraph (A).

The term foreign entity of concern means any foreign entity that is— designated as a foreign terrorist organization by the Secretary of State under section 219 of the Immigration and Nationality Act ( 8 U.S.C. 1189 ); included on the list of specially designated nationals and blocked persons maintained by the Office of Foreign Assets Control of the Department of the Treasury; owned by, controlled by, or subject to the jurisdiction, direction, or otherwise under the undue influence of a government of a covered nation (as defined in section 4872(d) of title 10, United States Code); alleged by the Attorney General to have been involved in activities for which a conviction was obtained under— chapter 37 of title 18, United States Code (commonly known as the Espionage Act ); section 951 or 1030 of title 18, United States Code; chapter 90 of title 18, United States Code (commonly known as the Economic Espionage Act of 1996 ); the Arms Export Control Act ( 22 U.S.C. 2751 et seq. ); section 224, 225, 226, 227, or 236 of the Atomic Energy Act of 1954 ( 42 U.S.C. 2274–2278 ; 2284); the Export Control Reform Act of 2018 ( 50 U.S.C. 4801 et seq. ); or the International Emergency Economic Powers Act ( 50 U.S.C. 1701 et seq. ); or determined by the Secretary, in consultation with the Secretary of Defense and the Director of National Intelligence, to be engaged in unauthorized conduct that is detrimental to the national security or foreign policy of the United States under this Act.

The term foreign entity of concern does not include any entity with respect to which 1 or more foreign entities described in subparagraph

(A)owns less than 10 percent of the equity interest. The term governmental entity means— a State; and a local government of a State. The term intelligence community has the meaning given the term in section 3 of the National Security Act of 1947 ( 50 U.S.C. 3003 ). The term metallurgy means the process of producing finished rare earth products from purified rare earth elements. The term Minerals Security Partnership means the Minerals Security Partnership established in June 2022. The term person includes an individual, partnership, association, corporation, organization, or any other combination of individuals. The term private capital has the meaning given the term in section 103 of the Small Business Investment Act of 1958 ( 15 U.S.C. 662 ). The term rare earth element means a natural element associated with— the metallic element scandium, with atomic number 21; the metallic element yttrium, with atomic number 39; or any of the series of 15 metallic elements between lanthanum, with atomic number 57, and lutetium, with atomic number 71, on the periodic table. The term Secretary means the Secretary of Energy. The term State means— each of the several States of the United States; the District of Columbia; the Commonwealth of Puerto Rico; Guam; American Samoa; the Commonwealth of the Northern Mariana Islands; the Federated States of Micronesia; the Republic of the Marshall Islands; the Republic of Palau; and the United States Virgin Islands.

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