Rising demand for rare earth metals from non-Chinese production to be addressed.
The Australian mining company Lynas, the largest producer of rare earths outside China, intends to cooperate along the supply chain for these critical raw materials with the South Korean company LS Eco Energy Ltd. According to an agreement announced on Thursday (PDF), Lynas will have rare-earth oxides further processed into metals at a new LS Eco Energy facility in Vietnam. As reported by Reuters, operations are scheduled to begin in the fourth quarter of 2026.
The metals produced there could subsequently be used in the United States for the manufacture of permanent magnets, where the parent company LS Cable & Systems is planning a corresponding factory. These magnets are essential for numerous technologies, ranging from electric mobility to wind power generation.
Through this partnership, Lynas aims to meet the growing demand for rare earth materials produced outside China and to expand its production capacity. Initial priority will be given to samarium, an element that Lynas has only recently begun offering. This material is particularly relevant for military applications.
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