Ninetech and Affiliate 'Yeonhwa Shinsosae'... Start Localization of Rare Earth Permanent Magnet Recycling Technology

Yeonhwa New Materials, an affiliate of Ninetech, a specialized company in secondary batteries and IT material parts equipment, announced on the 4th that it has been selected as a performing company for the Ministry of SMEs and Startups' national project "Development of Neodymium Fluoride (NdF3) Material Technology Using Waste Permanent Magnets" and is currently conducting research and development (R&D).

Recently, the government announced that it will specially manage the materials, parts, and equipment industry to stabilize the supply chain by classifying economic security items into three grades and preparing a government-wide supply stabilization plan for Grade 1 items, which are essential in the industry and have high supply chain concerns. Among them, rare earth permanent magnets, with an import dependency rate of over 85% from China, are key items that can strengthen domestic supply capabilities through recycling technology development.

Yeonhwa New Materials is a company possessing rare earth extraction and recycling technology. Since 2020, it has been conducting R&D through selection for the Ministry of Trade, Industry and Energy's national project "Eco-friendly Rare Earth Recovery and Permanent Magnet Material Manufacturing Technology Using Waste Motors." In particular, the technology related to this national project selection is receiving market attention as an innovative approach that simultaneously achieves efficient use of rare earth resources and environmental protection.

The goal is to develop technology that recovers neodymium from discarded permanent magnets and reprocesses it into fluoride form, converting it into a high value-added material.

Sim Sangmi, CEO of Yeonhwa New Materials, emphasized, "Yeonhwa New Materials' innovative technology and continuous R&D efforts have been proven once again through the selection of this national project," adding, "In line with the government's special management policy for the materials, parts, and equipment industry, Yeonhwa New Materials and Ninetech will take the lead in strengthening the competitiveness of domestic manufacturing."

Park Geunno, CEO of Ninetech, stated, "Rare earth extraction and recycling technology is very important for the stable securing of rare earths, which are key resources for future industries, and for environmental protection," and added, "We will continue to strengthen the competitiveness of the domestic rare earth industry through ongoing R&D and furthermore play a leading role in the global market."