Highlights

• Northern Zhaobao successfully completed trial production of sintered neodymium-iron-boron (NdFeB) permanent magnets with dimensional precision and magnetic properties meeting design specifications.
• The joint venture between Zhaobao Magnet and China Northern Rare Earth targets 3,000 tons per year of high-performance NdFeB magnets for EVs, wind turbines, and industrial automation.
• This production milestone strengthens China's vertical integration in the rare-earth magnet supply chain, potentially intensifying competitive pressure on emerging Western NdFeB projects.

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Northern Zhaobao Magnetics (Northern Zhaobao) has successfully completed trial production of its first batch of sintered neodymium-iron-boron (NdFeB) permanent magnet materials. Independent testing shows that dimensional precision and magnetic properties meet design specifications, laying the groundwork for full-scale production and commercial rollout.

Northern Zhaobao, a joint venture in China focused on producing high-performance neodymium-iron-boron (NdFeB) magnets. This company is a collaboration between Zhaobao Magnet (opens in a new tab) and China Northern Rare Earth Group High-Tech Co., Ltd..

Background

Since project launch, the build team pursued “high standards, high efficiency,” overcoming civil-works and equipment-installation hurdles. They optimized production-line layout, conducted initial commissioning of core machinery, and upgraded plant utilities—folding in multiple process innovations and efficiency improvements to de-risk the pilot run. Engineers tightly controlled raw-material ratios, forming parameters, and sintering profiles, ensuring seamless handoffs across steps. The result: a qualified first output—a major transition from lab-scale R&D to industrialization.

According to the notice, Northern Zhaobao’s new project targets 3,000 tons per year of high-performance NdFeB magnet materials. The joint initiative led by China Northern Rare Earth (Northern Rare Earth) and Ningbo Zhaobao, designed to pool resources, combine strengths, and deepen vertical integration across the rare-earth magnet value chain—creating a complete, high-end permanent-magnet supply chain from materials to finished product. Next steps include fine-tuning equipment, refining process details, and pushing to achieve full production readiness, with the goal of scaled, high-quality supply to energize downstream industries.

Why this is Newsworthy

• First qualified output signals that a new Chinese NdFeB line is moving from construction to commercialization—often the hardest leap in magnets manufacturing.
• The 3,000tpa target (when reached) would add meaningful capacity inhigh-performance grades that serve EV traction motors, wind-turbine generators, industrial automation, and defense systems.
• The JV structure—Northern Rare Earth × Ningbo Zhaobao—embodies China’s push for full-stack control: upstream oxides/alloys, midstream sintering, and downstream magnet components.

Implications for the West/USA

• If ramped on schedule, this boosts China’s already dominant NdFeB footprint, potentially intensifying price and technology pressure on emerging Western projects.
• Vertical integration around Baotou-anchored rare-earth resources tightens domestic Chinese security of supply for EV and wind sectors—complicating Western efforts to onshore magnets at scale.
• The focus on process control and quality (precision, fatigue, magnetic performance) suggests competitive positioning in premium grades, the same segment U.S./ally OEMs most need.

Disclaimer: This news item originates from Chinese state-owned media and should be independently verified before forming investment or policy conclusions.

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