Electric Vehicle Core Material Rare Earth Magnets 90% Made in China... Efforts to Resolve Supply Instability Underway

Korea Institute of Materials Science Signs Research and Development Cooperation Agreement with Related Companies
"Resolving Supply Instability through Joint Research and Development"

Rare earth elements. Stock photo. Not related to the article. [Image source=Reuters Yonhap News]

[Asia Economy Reporter Kim Bong-su] Rare earth magnets are a key material used in motors for electric vehicles and generators, but China controls 90% of the domestic supply, causing significant supply instability. In response, national research institutes and private companies are joining forces to actively pursue localization.

The Korea Institute of Materials Science (KIMS), a government-funded research institute under the Ministry of Science and ICT, signed a memorandum of understanding on the afternoon of the 8th at its headquarters' main conference room in Daejeon with Samhyun Co., Ltd. and Seongrim Advanced Industry Co., Ltd. to collaborate on research and development of rare earth magnet material components.

Rare earth magnets are essential materials that determine the performance and efficiency of motors in electric vehicles and generators. Although the market is rapidly growing, the entire supply is currently dependent on imports. In particular, since China produces 72% of the world's rare earth metals and accounts for over 90% of the domestic supply of rare earth magnets, supply chain instability is intensifying.

Going forward, KIMS will collaborate with these private companies to promote research and development and technological cooperation aimed at domestic technological independence to resolve supply instability of high-performance motors' rare earth magnets. Specifically, they plan to cooperate on ▲research and development and technical support related to rare earth magnet material components ▲process development and technical support related to rare earth magnet alloys and magnet manufacturing ▲evaluation of magnetic properties of rare earth magnet material components ▲personnel exchanges in common interest areas ▲joint use of research equipment and regular information and technology exchange meetings. Seongrim Advanced Industry Co., Ltd. is the only domestic company possessing advanced rare earth magnet manufacturing technology, and Samhyun Co., Ltd. holds cutting-edge automotive core component manufacturing technology for electric vehicle motors.

KIMS stated, "We will do our utmost to achieve meaningful results as soon as possible to ensure a stable domestic supply of rare earth magnets for electric vehicle drive motors."

Korea Institute of Materials Science, Samhyun Co., Ltd., and Seongrim Advanced Industry Co., Ltd. signed a business agreement on the afternoon of the 8th to collaborate on research for the localization of rare earth magnets.
(From left: Seongho Hwang, CEO of Samhyun Co., Ltd., Jeonghwan Lee, President of Korea Institute of Materials Science, Gunseung Gong, CEO of Seongrim Advanced Industry Co., Ltd.). Photo by Korea Institute of Materials Science