Car manufacturers are looking for other sources of rare earth minerals for magnets, since China’s decision in April to limit the export of their monopoly supply.
Tat’s chickadee between the Chinese and the United States caused by the pricing war stifled the automotive industry. Beijing controls approximately 90% of the global supply of these strategic metals, which are essential for electric vehicle engines to operate at high speed. If manufacturers do not receive rare earth minerals, they cannot make magnets necessary to operate electric motors. In addition, magnets are also necessary in the wipers, headlights, braking systems, ruffles and seat engines.
To counter this existential threat, car manufacturers are desperately looking for alternatives to the status quo. If the exports of the magnets are limited, they could rather install the magnets directly in the engines in China and avoid all the chemistry. After all, there are well -known Chinese magnet producers with whom to work with.
Another alternative is to store mineral stocks. The Korean engine Hyundai recently reassured its investors by declaring that the company had a stock that could last a year. European colleagues have tried another path: find suppliers outside of China. It is reported that the German automaker Mercedes-Benz recently approached British Rainbow Rainbow Rainbow Earths. The long-term objective of the company is to guarantee future results of the South African Rainbow mine, which should start production in 2027. Porsche also asked German magosphere Magnet Magosphere to increase its production.
And if suppliers cannot comply, find a way to eliminate the need for rare earth minerals. This is the promise made by Conifer, a company in Silicon Valley testing engines that use iron -based magnets. However, this new technology is not yet ready for mass production.
In another sector, Apple is also in a link. Rare earth magnets vibrate mobile phones. The company cannot count on the bureaucracy of slow Chinese license approval for magnet exports. Since April, only a quarter of license requests have succeeded. To counter the risk of disruption of the supply chain, Apple has teamed up with MP Materials, which produces magnets from recycled materials. Apple decided to invest $ 500 million to guarantee a stable offer of magnets, from 2027.