Operations are expected to begin in 2027 with an annual capacity of up to 2,000 tons.
U.S.-based Noveon Magnetics, a manufacturer of sintered rare-earth magnets, has announced plans to build a production facility in South Korea. The project will be developed in partnership with South Korean engineering firm Kangwon Energy, with a memorandum of understanding signed on Monday. Production is scheduled to begin in 2027, with an anticipated annual capacity of up to 2,000 tons of sintered NdFeB rare-earth permanent magnets. In addition to magnet manufacturing, the facility will focus on recycling technologies.
According to both companies, the initiative is driven by growing global demand for rare-earth magnets produced outside China. Currently, more than 90 percent of these high-tech components originate from China, which also dominates the mining and refining of the necessary raw materials. Amid rising geopolitical tensions and increasing supply risks, Western nations are seeking to diversify their sources of critical minerals.
Several partnerships between U.S. and South Korean companies have already been established as part of this effort. U.S. rare-earth producer Energy Fuels, for example, supplies materials to the electric mobility division of South Korean conglomerate Posco. ReElement Technologies, a subsidiary of American Resources Corporation, is also working with Posco. Noveon itself has been active in South Korea’s value chain since May 2023, when it signed an agreement with Australian Strategic Materials to source rare-earth materials from the company’s processing facility in the country.
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