Substantial investments announced. Annual production of 4,000 tons targeted.
Permanent magnets made of rare earths are central components for the drive motors of most electric cars. European vehicle manufacturers are in the worst possible position with regard to these components, because both the market for the raw materials, above all neodymium and dysprosium, but also the magnet production itself are dominated by China. In the European Union, around 98 percent of magnets come from the Asian country.
To put the supply of components on a broader basis, GKN Powder Metallurgy (GKN PM) has now thrown its hat into the ring. The Michigan-based company promises significant investment in a press release issued this week to be in a position to manufacture up to 4,000 tons of permanent magnets annually for the European and North American markets by 2024.
As a long-standing supplier to the automotive industry, the provider of powder metal solutions and vehicle components believes it is ideally positioned to meet this challenge and promises its customers greater planning security through a reliable supply chain. Among other things, GKN PM points to its own manufacturing capacities in North America and Europe. In addition, a dedicated project team has been established, comprising experts from various fields.