Foreign official makes urgent plea to revisit major deal with US: 'Profits are taken out'

Officials in Malaysia are urging the country's leaders to reconsider a deal with a major mining company. 

A member of Parliament from northeastern Malaysia is calling on the government to prohibit a new operational plan from Lynas Rare Earths.  

Lynas is based in Australia and mines rare-earth elements that are used for electronics, electric vehicles, and the defense industry.

It also has a large plant in Malaysia that has produced nearly 2 million tons of radioactive waste since it opened in 2012, according to Scoop. 

"For 12 years, the Lynas model has only left us with … radioactive waste, while permanent disposal is still not fully completed," said MP Wan Ahmad Fayhsal Wan Ahmad Kamal, per the publication. "Profits are taken out, risks are left with our people." 

"Malaysia does not reject the rare earth industry, but rejects exploitation, and also questions the special treatment given to Lynas, which has enjoyed tax exemptions for 12 years, but at the same time only employs 855 workers as of June 2025."

The issue has come to the forefront as a result of the Reciprocal Trade Agreement between Malaysia and the U.S. that was signed in October 2025. 

The Malaysian government wants to renew Lynas' operating license to fulfill arrangements from ART, but locals are pushing for better regulations first.

Wan Fayhsal suggested a temporary moratorium on operations until Lynas completely and permanently disposes of the remaining radioactive materials and the company is independently audited.

"Malaysia cannot repeat the same mistake," he said. "We must build a sovereign, safe and ethical rare earth industry."

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Rare earth mining is a complicated industry with some dangerous byproducts. According to the World Nuclear Association, large amounts of uranium are found in rare earth deposits and can be extracted from them. 

This unconventional resource of uranium may be utilized more as demand for nuclear power increases. Worldwide, there is a need for affordable, reliable power sources and clean alternatives to traditional, highly polluting fuels, such as coal, oil, and gas. 

The rapid pace of tech development is requiring huge amounts of energy, especially for things like artificial intelligence operations. Nuclear power can produce a lot of low-carbon electricity, which can help with the demand. 

It does have risks, however, like radioactive waste, safety concerns, and high upfront costs. 

Just as it's happened in Malaysia, there are many examples of companies skirting regulations and cutting corners with this waste disposal, putting people at risk in the name of profit.

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