Climate Money Work: The Corporate & Risk Operations Brief

CMW: The Corporate & Risk Operations Brief delivers weekly insight on how market shifts, operational decisions, and policy signals translate into real-world risk and execution pressure for corporate leaders.

CMW: The Corporate & Risk Operations Brief  is built for leaders navigating risk in real time.

Behind the Numbers: Rare Earth Investments

by Keesa Schreane

What’s happening

The US government plans to commit $1.6bn to USA Rare Earth through a mix of federal funding and a large Commerce Department loan that could convert into an equity stake. The investment supports domestic mining, processing, and magnet production, alongside significant new private capital raised by the company. It’s part of a broader effort to rebuild a full US rare earths supply chain.

Why it matters

For corporate operators, this signals that rare earth supply risk is now a first-order strategic issue, not just a procurement concern. Government-backed capacity may eventually reduce single-country dependency, but timelines are long. Risk leaders should view this as early-stage mitigation, not near-term relief, and factor it into long-range sourcing, capital planning, and geopolitical risk models.

What’s the risk exposure

Companies remain exposed to supply disruptions and price volatility because China still dominates global processing. Industrial policy introduces new dependencies—on government funding continuity, regulatory approvals, and project execution—creating transition risk during the build-out phase. Firms tied to defense, energy transition, electronics, and advanced manufacturing face the highest operational and contractual exposure.

What to watch next

Risk and operations teams should track whether these projects move from funding announcements to commercial-scale output, especially in processing and magnet production. Monitor trade negotiations and export controls for sudden supply shocks, and watch for new compliance, localization, or sourcing expectations tied to federal funding. These developments may drive changes in supplier qualification, inventory strategy, and long-term capex decisions.

Key Risks & Considerations

Sources

• Trump administration to invest $1.6bn for stake in rare earths firm

• US to back $1.6 billion USA Rare Earth funding, shares jump | Reuters

Extreme Weather, Extreme Operational Stress?

by CMW: The Corporate & Risk Operations Brief Contributor

January 25, 2026 wasn’t just another snowstorm; it was America’s latest operational stress test. As transit agencies trimmed schedules and utilities raced to restore power, the storm revealed where staffing, salting, and communication plans held. The storm also showed where those plans broke down. Flight cancellations, road closures, and scattered outages showed how tightly mobility, logistics, and labor availability are coupled. For risk leaders, the takeaway isn’t snowfall totals but the dashboards lighting up: school closures, absenteeism, delayed shipments, and frontline strain. This was a live-fire test of resilience and insight into the toll extreme climate takes on humans and human-created systems. 

Sources

• A state-by-state guide to the massive winter storm : NPR

• Winter storm leaves over a million people without power across US | Weather News | Al Jazeera

• January 25-26, 2026 — Winter storm | CNN

Fed Signals Stability: What Yesterday’s Fed News Means for Risk and Operations Leaders

by CMW: The Corporate & Risk Operations Brief Contributor

Today’s Federal Reserve meeting signals near-term stability for risk and operations leaders, with policymakers aligned around holding rates steady as economic growth continues at a moderate pace and labor conditions show signs of leveling out. Inflation pressures remain above target but are increasingly viewed as manageable, with much of the impact from tariffs already absorbed, reducing the risk of a renewed inflation surge or a sharp labor-market downturn. For corporate risk and operations teams, this environment supports planning around steady financing conditions, closer monitoring of input costs and wages, and a continued focus on inflation expectations as a key operational and workforce risk to watch in the months ahead.

Executive Quote

“Our teams refined our storm planning approach, strengthened our forecasting tools and streamlined our response strategy... it reinforces a simple truth: victory favors the prepared.” – Michigan-based Consumers Energy Vice President Norm Kapala

-News Release | Consumers Energy

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