Will Alternative Magnetic Materials Replace Rare Earth Magnets?

Highlights

• Researchers are investigating alternative magnetic materials to replace expensive and geopolitically sensitive rare earth magnets in electric vehicle motors.
• IDTechEx predicts that rare earth-free motors could comprise nearly 30% of the EV market by 2035, driven by global supply chain localization efforts.
• Current alternative magnetic materials, such as AlNiCo, SmCo, and ferrite magnets, have performance limitations compared to traditional neodymium iron boron (NdFeB) magnets.

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A recent article (opens in a new tab) by Dr. James Edmondson of IDTechEx (opens in a new tab), explores the potential of alternative magnetic materials to replace rare earth magnets in electric vehicle (EV) motors, addressing concerns such as cost volatility, environmental impact, and geopolitical supply chain risks. Rare earth magnets, particularly neodymium iron boron (NdFeB), dominate EV motor applications due to their superior magnetic properties. However, alternatives like aluminum nickel cobalt (AlNiCo), samarium cobalt (SmCo), manganese bismuth (MnBi), and ferrite magnets are assessed, though each falls short of NdFeB in critical metrics like energy density, coercivity, or remanence. These alternatives often necessitate larger magnets, leading to design and performance trade-offs. Initiatives such as Niron, Proterial, and the EU’s PASSENGER project are developing solutions to mitigate reliance on rare earths, and the recycling of rare earths is another avenue being explored, though logistical and supply constraints remain. Despite these challenges, IDTechEx projects that rare earth-free motors, including magnet-free technologies like externally excited synchronous motors, could account for nearly 30% of the EV market by 2035, driven by global efforts to localize supply chains and reduce reliance on rare earths.

Some possible assumptions and biases inherent in the piece were identified by Rare Earth Exchanges.  Geopolitical and market assumptions are important to pick out. For example, the article presumes sustained geopolitical tension and price volatility around rare earths, emphasizing a need for alternatives.

Also, the viability of proposed alternatives may be overstated given their current performance limitations relative to NdFeB.  This still need quite a bit of real world proving. Moreover,  the cost-effectiveness of adopting alternatives, including larger motor designs or recycled materials, might be overly optimistic.

Finally, as IDTechEx provides market research, its projections could reflect commercial interests aligned with promoting market diversification in EV technology.