VACUUMSCHMELZE Bets on Magnetism to Decarbonize Industry – But Can Science-Based Targets Hold?

Oct 29, 2025

Highlights

  • VACUUMSCHMELZE submits Science Based Targets to cut Scope 1 & 2 emissions by 65% and Scope 3 emissions by 40% by 2035, aiming for Net Zero by 2050.
  • The German magnet maker's strategy combines internal decarbonization with high-efficiency magnetic materials used in electric vehicles (EVs), wind turbines, and industrial systems.
  • Scope 3 emissions from rare earth mining remain challenging, with carbon-intensive upstream supply chains largely based in Asia lacking transparent audits.

German magnet maker VACUUMSCHMELZE ( (opens in a new tab)VAC) has announced (opens in a new tab) an ambitious roadmap to achieve Net Zero by 2050, blending internal emissions cuts with the external climate impact of its high-efficiency magnetic materials. The companyโ€”whose rare earth-based alloys are critical in EVs, wind turbines, and industrial automationโ€”has formally submitted its climate goals to the Science Based Targets initiative (SBTi) for validation.

VAC pledges to cut Scope 1 & 2 emissions 65% and Scope 3 by 40% by 2035, using 2023 as its baseline. The plan focuses on two levers: decarbonizing its own operations and accelerating global emissions reduction through products that make electric motors, transformers, and renewable systems more efficient.

โ€œBy uniting internal decarbonization with the external climate benefits of our technologies, we are driving meaningful change,โ€ said CEO Dr. Erik Eschen. Itโ€™s a dual play: cleaner production and greener products.

Magnetic Ambition Meets Industrial Reality

For investors and policymakers tracking the rare earth value chain, VACโ€™s announcement matters. Its rare earth permanent magnetsโ€”largely neodymium and samarium-cobaltโ€”sit at the intersection of European climate goals and critical minerals strategy. By anchoring its targets to SBTi, VAC joins a small but growing club of industrial players committing to quantified carbon reduction across full supply chains.

Yet, some friction remains between ambition and practicality. While internal energy efficiency upgrades and renewable power sourcing are achievable, Scope 3 emissionsโ€”those embedded in mining and processing rare earth oxidesโ€”remain far harder to eliminate. Without transparent upstream audits, much of that burden still sits in Asia, where carbon intensity remains high.

Between Science and Symbolism

From a factual standpoint, VACโ€™s targets are consistent with SBTi methodology, and its technologies genuinely contribute to energy efficiency. But the tone of the companyโ€™s release flirts with green virtue signaling, implying that magnet-driven climate gains can offset complex, carbon-intensive supply chains. The omission of specific benchmarks for rare earth sourcing and recycling leaves questions about feasibility.

Still, this announcement signals Europeโ€™s growing industrial self-awareness: decarbonization cannot just be about policyโ€”it must also run through metallurgy.

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By Daniel

Inspired to launch Rare Earth Exchanges in part due to his lifelong passion for geology and mineralogy, and patriotism, to ensure America and free market economies develop their own rare earth and critical mineral supply chains.

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