American Materials Reshoring
Gilad Lotan@gilgul
−4.4%
since Sep 30
The idea
I believe globalization is going into reverse and the US has to rebuild its own base of core materials, from metals and rare earths to chips and chemicals. So the heaviest weight sits in processors and refiners, where the US is weakest and rebuilding dollars land first, with miners, chip fab names, industrial gases and chemicals, and the engineering firms that build the plants around that core. This is a structural shift I'm measuring in years, so the basket stays broad, leans on large established operators as ballast, and keeps a modest cash reserve to add on weakness.
What it owns
- Refining is the layer America outsourced most completely, creating the biggest bottleneck in reshoring the materials base. · MP MaterialsIt is building rare earth refining capability on US soil, where the US currently sends most material abroad for processing., NucorIt is the largest and most profitable US steel producer, supplying the material every reshored plant sits on., Steel DynamicsIt makes steel from scrap already inside the US, representing a supply chain as de-globalized as possible., ATI Inc.It makes the specialty alloys that defense, aerospace and chip equipment cannot safely source overseas., Carpenter TechnologyIt refines the aerospace-grade metals where the US is weakest and where reshoring dollars land first.26%
- Chips are the core material of everything electronic, and the US is spending heavily to bring their production back home. · IntelIt is building the most fab capacity on US soil with government backing, with plants under construction in Arizona and Ohio., EntegrisIt sells the ultra-pure materials and handling gear every fab consumes daily and is building US plants to serve reshored ones., GlobalFoundriesIt runs chip factories in New York and Vermont that make chips for anyone who wants them manufactured in America., Applied MaterialsIt equips every new US fab with its tools, getting paid whichever chipmaker wins the reshoring race., Micron TechnologyIt is the only American memory chip maker and is putting new fabs in Idaho and New York., Texas InstrumentsIt already makes most of its chips in its own US fabs and is spending billions to add more capacity in Texas.25%
- These firms design and construct the new factories, and they get paid regardless of which materials ultimately win in the reshoring race. · EMCOR GroupIts crews do the electrical and mechanical fit-out inside new US factories and fabs, earning from the construction itself., Quanta ServicesIt builds the grid connections and power infrastructure that every reshored plant needs., Jacobs SolutionsIt designs and engineers advanced fabs and industrial plants, getting hired at the very start of every reshoring project., CaterpillarIts machines dig the mines and clear the plant sites that the materials base rebuild depends on.15%
- Every fab, smelter and refinery runs on industrial gases and specialty chemicals, which act as a quiet toll booth across the whole buildout. · LindeIt pipes industrial gases into steel mills, chemical plants and fabs under long contracts, collecting revenue across the entire buildout., Air ProductsIt supplies the gases and chemicals that chip fabs and chemical plants require to operate, often built directly on customer sites with long-term supply agreements., DuPontIt makes the specialty chemicals and materials that chips and advanced manufacturing depend on.13%
- Domestic plants cannot reshore if the ore still comes from abroad, so these companies supply the copper, lithium and aluminum that stays at home. · Freeport-McMoRanIt is the largest US producer of copper, the metal that everything else in the buildout runs through., AlbemarleIt owns one of the only producing lithium mines on US soil, which matters if battery supply chains need to de-globalize., AlcoaIt is the American aluminum producer, supplying the metal that reshored manufacturing needs without importing.13%
- Cash8%