
For defense subcontractors, the hardest part of DFARS 252.225-7052 is not understanding the rule. It is being able to prove magnet origin when a contracting officer, a prime, or an auditor asks for evidence. From January 1, 2027, the clause stops asking only where a magnet was melted and starts asking where every input was mined. This guide is a practical walkthrough of the evidence chain that quality and contracts teams need to assemble, how tantalum and tungsten documentation differs, what to do when a supplier cannot confirm origin, and how waivers tighten under Executive Order 14415. For the clause mechanics themselves, see the DFARS 252.225-7052 framework explainer.
New to this deadline? You can request a compliance risk assessment to map your covered-material exposure across products and suppliers before the 2027 cutoff.
Key Takeaways
⏳ From January 1, 2027, DFARS 252.225-7052 restricts covered materials mined, refined, separated, melted, or produced in China, Russia, Iran, or North Korea, not only melted or produced.
📌 For neodymium-iron-boron (NdFeB) and samarium-cobalt (SmCo) magnets, the restriction spans the full chain from mining through the finished magnet, including recycled feedstock, with a narrow United States-processing carve-out for recycled NdFeB.
📄 There is no government origin certificate. Proving compliance means assembling a defensible evidence chain of supplier declarations, material certifications, and multi-tier country-of-origin records.
🔗 Tantalum and tungsten carry the same upstream reach. Conflict-minerals (3TG) data helps but does not by itself answer the covered-country question the clause asks.
⚠️ Executive Order 14415 curtails routine waivers from January 1, 2027 and requires a Department of War-approved mitigation plan. Unsupported provenance claims can create False Claims Act exposure.
🤖 Centralizing BOM-level provenance evidence and automating supplier origin collection reduces unsupported representations and shortens audit response.
What Changes on 1 January 2027
Today the test under DFARS 252.225-7052 is narrow. Through December 31, 2026, a contractor may not deliver a covered material melted or produced in a covered country, or an end item manufactured in a covered country that contains one. Effective January 1, 2027, the restriction expands upstream to any covered material mined, refined, separated, melted, or produced in a covered country, per acquisition.gov and Section 854 of the FY2024 NDAA. The covered countries are China, North Korea, Russia, and Iran.
The five covered materials are SmCo magnets, NdFeB magnets, tantalum metals and alloys, tungsten metal powder, and tungsten heavy alloy (including finished or semi-finished components containing it). This change matters most to aerospace and defense subcontractors whose assemblies carry rare-earth magnets.
Element | Through Dec 31, 2026 | From Jan 1, 2027 |
|---|---|---|
Restricted origin steps | Melted or produced | Mined, refined, separated, melted, or produced |
NdFeB / SmCo scope | Alloy melting through finished magnet | Entire chain from mining of inputs through finished magnet (incl. recycled feedstock) |
COTS carve-out limit | 50% or more tungsten by weight excluded | 50% or more of any covered material by weight excluded |
The 50 percent by weight threshold change was set in the May 30, 2024 final rule, DFARS Case 2021-D015, published in the Federal Register. The clause also does not apply below the Simplified Acquisition Threshold.
The Evidence Chain From Mine to Finished Magnet
The clause is a contractual prohibition on what you deliver, not a certification scheme. No agency issues a “DFARS-compliant magnet” certificate. That means proving compliance is a documentation exercise: you must be able to support, from your own records, the representation that the magnet and its inputs touched no covered country at any restricted step. Building that capability is where multi-tier supplier documentation becomes the core of the work.
What “origin” now means in practice
Through 2026, a melt certificate was often enough. From 2027, NdFeB magnet traceability must reach the mining of neodymium, iron, and boron, through refining, separation, alloy melting, and finished-magnet production. SmCo magnets follow the same logic from cobalt and samarium ore or feedstock. The practical consequence: a magnet melted in an allied country can still fail the clause if a restricted input passed through a covered country upstream.
Evidence chain documents used to prove magnet origin under DFARS for the 2027 deadline
Click on image to view full
The documents that actually carry the proof
A defensible DFARS mine to magnet evidence package generally includes:
A supplier declaration or Certificate of Conformance stating no covered-country origin at any restricted step, with the clause flowed down.
Material certifications and mill test reports identifying the melt source and, from 2027, the upstream mine, refine, and separate origins.
Magnet-maker chain-of-custody records showing country of origin for each rare-earth input through the finished magnet.
For recycled magnets, proof that the milling of recycled material and the sintering of the final magnet took place in the United States, which is the specific condition for the recycled-NdFeB exception.
Subcontract flowdown acceptance at every tier, and lot or heat records linking the material to the finished part and its BOM line.
The weak point is almost always tier depth. A Tier 1 declaration is only as good as the Tier 3 and Tier 4 origin data behind it, which is why supplier and contractor management at multiple tiers is the real control.
Tantalum and Tungsten Origin Documentation
Tantalum and tungsten follow the same January 1, 2027 upstream expansion, but the evidence looks different because the supply chains and intermediate products differ. For tantalum, the restriction reaches the mining or production of tantalum ore or feedstock, including recycled material, through metals and alloys. For tungsten, it reaches the mining or production of tungsten ore or feedstock through powder, heavy alloy, and components.
Covered material | Restricted chain from Jan 1, 2027 | Primary evidence to collect |
|---|---|---|
Tantalum metals and alloys | Ore or feedstock (incl. recycled) through metals and alloys | Smelter/refiner identity and country, material certs, Certificate of Conformance |
Tungsten metal powder | Ore or feedstock (incl. recycled) through powder | APT/converter origin, powder-maker records, mill test reports |
Tungsten heavy alloy and components | Same upstream chain through finished or semi-finished component | Alloy producer origin, component-maker traceability, CoC |
Tantalum and tungsten are also conflict minerals, so many teams already hold smelter-level data from their conflict minerals due diligence programs. That data is useful but not sufficient. OECD-aligned due diligence answers whether a smelter is responsibly sourced. DFARS 252.225-7052 asks a narrower question: was the material mined, refined, separated, melted, or produced in a covered country. The evidence overlaps, but the determination is separate.
If tantalum and tungsten documentation is scattered across spreadsheets and email, you can speak with a compliance specialist about consolidating origin evidence at the BOM level before primes start requesting it.
When a Supplier Cannot Confirm Origin
Missing or non-committal origin data is the most common failure mode heading into 2027. Treat a non-answer as a finding, not a gap to paper over. Practical options, in order of preference:
Escalate with a structured origin questionnaire down to the magnet or metal producer, not just the immediate supplier. Many Tier 1 vendors cannot answer because they never asked their own upstream.
Re-source to a qualified compliant supplier in the United States or an allied country, and begin qualification early given long lead times.
Confirm whether an exception genuinely applies, such as a qualifying commercially available off-the-shelf item under the weight threshold, an electronic device, a recycled NdFeB magnet processed in the United States, or a mill product not yet incorporated into an end item. Verify, do not assume.
Pursue a nonavailability determination or waiver, which is now materially harder under Executive Order 14415 and requires a mitigation plan.
Do not deliver, and do not represent compliance you cannot support. A provenance statement you cannot evidence can create False Claims Act exposure and contract termination risk.
Decision workflow for proving magnet origin when a supplier cannot confirm DFARS compliance
Click on image to view full
Handling these exceptions well is a records problem: you need to retain the basis for each exception, the approving authority, and the date, so the position holds under a later audit across frameworks. That is the difference between being audit-ready and being merely confident.
How Waivers Change Under EO 14415
On July 20, 2026, Executive Order 14415, “Securing America’s Defense Supply Chains and Ensuring Domestic Acquisition of Critical Materials,” was signed and published in the Federal Register on July 23, 2026. It does not repeal waiver authority under 10 U.S.C. 4872, but it functionally removes routine access to it as the upstream restriction takes effect.
From January 1, 2027, a nonavailability waiver generally requires a Department of War-approved mitigation plan that describes the steps and timeline to remove the noncompliant covered material from the supply chain, according to analysis from Holland & Knight. The order also directs comprehensive supply-chain mapping, written supplier-vetting procedures, and qualification of alternative sources, and it moves toward prohibiting covered material from an “unreliable foreign supplier.” Projects supported through the Strategic Critical Minerals Reserve and certain federally financed sources sit outside the new restrictions.
The strategic read for subcontractors: a waiver is a narrowing bridge, not a destination. The administration is converting a long-standing statutory requirement into an active enforcement priority, so the organizations that win contracts will be the ones that can produce provenance evidence rather than rely on relief. Building that capability now is the core of proactive compliance risk management, and it mirrors the documentation pressure already building from China’s rare earth export controls.
How Certivo Supports Mine-to-Magnet Evidence
Proving origin to the mine is a data and evidence problem before it is a legal one. The challenge is collecting country-of-origin records across tiers, reading them accurately, and tying each to the right part and contract. Certivo acts as the system of record for that evidence, using automated supplier documentation workflows to request and chase origin data, and CORA-powered regulatory intelligence to parse material certifications, Certificates of Conformance, and mill test reports at scale.
Because evidence is held at the BOM level, a contracts or quality lead can answer which finished products contain a magnet whose provenance is unconfirmed, retain the basis and date for any exception or waiver, and respond to a prime or auditor without rebuilding the record each time. The result is faster, defensible response and fewer unsupported representations, supported by AI-powered material certificate analysis across the Certivo platform.
To see how your covered-material evidence stands today, request a compliance review and map your DFARS 252.225-7052 exposure before the January 1, 2027 deadline.
Kunal Chopra
Kunal Chopra is the CEO of Certivo, an AI-driven compliance management platform revolutionizing how manufacturers navigate regulatory challenges. With a career spanning over two decades, Kunal is a seasoned technology leader, 3x tech CEO, product innovator, and board member with a passion for driving transformative growth and innovation.
Before leading Certivo, Kunal spearheaded successful transformations at renowned companies like Beckett Collectibles, Kaspien, Amazon, and Microsoft. His strategic vision and operational excellence have led to achievements such as a 25x EBITDA valuation increase at Beckett Collectibles and a 450% shareholder return at Kaspien. He has a track record of turning challenges into opportunities, delivering operational efficiencies, and driving market expansions.
Kunal’s deep expertise lies in blending technology and business strategy to create scalable solutions. At Certivo, he applies this expertise to empower manufacturers, using AI to turn product compliance from an operational burden into a strategic advantage.


