10 U.S.C. 4872(c)(3)(C): how should the exception for recycled samarium-cobalt magnets be reflected in contracts?

Section 844(a) of Public Law 119-60 added samarium-cobalt magnets to the exception in 4872(c)(3)(C) for magnets manufactured from recycled material, with milling of the recycled material and sintering of the final magnet in the United States. The deviation and clause 252.225-7961 keep the exception for recycled neodymium-iron-boron magnets only. The clause also states that its restriction on samarium-cobalt magnets is in addition to any applicable specialty metals restriction. Case 2024-D014 includes this amendment. One reading lets a magnet that meets the statutory conditions fall outside the clause now. The other keeps the clause restriction until it is amended, with any specialty metals restriction applying separately.

Consequence

No contract or delivery affected by the difference has been established.

Proposed correction

Please clarify how this exception should be reflected in contracts pending completion of case 2024-D014.

Jurisdiction

United States — federal

Act

Defense Federal Acquisition Regulation Supplement (48 CFR chapter 2) and Class Deviation 2026-O0041, Revision 1

Place

10 U.S.C. 4872(c)(3)(C); clause 252.225-7961(c)(1)(iv)

Record

Question of reading or data

Class

Question of reading or data

Where it arose

The text of the act

Arxo's conclusion

Confirmed

Official text

Unchanged at last check

Last checked

2026-10-29

Evidence

Pair of quotations. Quotations are verbatim from the official material; translations are ours and marked.

a neodymium-iron-boron magnet or samarium-cobalt magnet manufactured from recycled material if the milling of the recycled material and sintering of the final magnet takes place in the United States

A neodymium-iron-boron magnet manufactured from recycled material if the milling of the recycled material and sintering of the final magnet takes place in the United States.

The restriction on melting and producing of samarium-cobalt magnets is in addition to any applicable restrictions on melting of specialty metals if the clause at 252.225-7009

it authorizes an exception to the prohibition for

How to check it without Arxo's tools

1. Open 10 U.S.C. (Armed Forces), OLRC release point 119-124 and find 10 U.S.C. 4872(c)(3)(C). Compare the text with the quotation above. A copy is kept in this register: 3a0a8808decb5adf-usc10-119-124.zip (SHA-256 3a0a8808decb5adf4469e23373a921cf23df1a38c460a56811ed3442ea9a6aa8, copy of the official file).
2. Open DoD Class Deviation 2026-O0041, Revision 1 (July 1, 2026), Attachment A1: FAR Overhaul Part 25 and DFARS Part 225 and find Class Deviation 2026-O0041, Rev. 1: clause 252.225-7961(c)(1)(iv); Class Deviation 2026-O0041, Rev. 1: clause 252.225-7961(b)(2)(ii). Compare the text with the quotation above. A copy is kept in this register: 4866b6f6f7f1f5fb-dfars-rfo-part225-rev1.pdf (SHA-256 4866b6f6f7f1f5fb1f99b4ca828cdb2c03885c29a6a9d474788a0470da2c9b79, copy of the official file).
3. Open Open DFARS cases as of October 23, 2026 (Defense Acquisition Regulations System) and find Open DFARS cases as of October 23, 2026, case 2024-D014. Compare the text with the quotation above. A copy is kept in this register: eb0de6e885c16743-dfars-open-cases.pdf (SHA-256 eb0de6e885c16743edd300a5f0a5b086f2e67bb3c255d2aa892199d54b46b7e4, copy of the official file).
4. The finding holds if the quoted passages read as shown and the comparison gives the result stated at the top of this page. If it does not, write to us with the record ID.

How this finding was made

AI agents read the official texts and compared the provisions, clauses and preambles; they also drafted this record. A person at Arxo approved the report before it was sent.

Responsible institutions

• Department of Defense, Defense Pricing, Contracting, and Acquisition Policy — author of the DFARS and the class deviation

Reported to

Responses

No response recorded.

Related records

• ARXO-2026-0245 — 10 U.S.C. 4872(c)(3)(D): how should the exception for recycled tantalum, tungsten and molybdenum be reflected in contracts?

History

1. 2026-10-29Confirmed by Arxo
2. 2026-10-29Reported to Department of Defense, Defense Pricing, Contracting, and Acquisition Policy (e-mail)
3. 2026-10-31Entered in the register

Cite this record

Arxo Law, Arxo Findings Register, ARXO-2026-0246, https://arxo.io/findings/ARXO-2026-0246/ (status as of 2026-10-29). Data: ARXO-2026-0246.json.