Northern Rare Earth Invests $5.5m to Launch High-Performance NdFeB Magnet Production Center-Enter Northern Zhaobao Magnetic Co., Ltd.

Highlights

• Northern Rare Earth is establishing a new joint venture to develop high-performance NdFeB magnetic materials.
• The joint venture plans to achieve an annual production capacity of 3,000 tons.
• NdFeB magnets are the strongest permanent magnets.
• These magnets are used across various sectors including:
  • Electronics
  • Motors
  • Medical devices
  • Industrial equipment
  • Renewable energy
• The collaboration aims to:
  • Enhance rare earth magnetic material production
  • Increase product value
  • Support the development of a world-class rare earth industry

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The parties come together to develop high-performance NdFeB magnetic materials. Recently, Northern Rare Earth, China’s predominant state-owned rare earth vertically integrated behemoth, announced that it plans to invest 40 million yuan (USD 5.5m)  with its own funds to jointly establish Northern Zhaobao Magnetic Co., Ltd. Industry (Inner Mongolia) Co., Ltd. (tentative name, subject to final approval), and the new company will be used as primary vehicle to build a high-performance NdFeB magnetic material production center with an annual output of 3,000 tons, and jointly carry out the research and development, production, sales and application of mid-to-high-end rare earth magnetic materials. Promote low-carbon, green, sustainable, and high-quality development of the industrial chain. NdFeB magnets are highly valued for their strength and compact size, making them a key component in advancing modern technology and renewable energy systems.

The most in-demand types of rare-earth magnets are in fact Neodymium-Iron-Boron (NdFeB) and Samarium-Cobalt (SmCo) magnets. These magnets are favored for their unique properties and applications across various high-tech and industrial sectors.

Source: Wikipedia

The Target Product

NdFeB, or neodymium-iron-boron, is a type of rare-earth magnet composed primarily of three elements: neodymium (Nd), iron (Fe), and boron (B). These magnets are known for their exceptional strength and are the strongest type of permanent magnets available today.

Some key features include high magnetic strength, lightweight—ideal for compact, high performance applications, but also customizable shares and sizes (e.g. shapes like discs, rings, blocks and more), temperature sensitivity and corrosion resistance.

NdFeB magnets are used in a wide range of industries, including:

• Electronics
• Motors
• Medical Devices
• Industrial Equipment
• Renewable Energy

Terms and Other information

According to a report by Baotou Iron and Steel Group, Northern Rare Earth is the controlling shareholder of the new company. The new company is mainly engaged in the manufacturing, processing, wholesale, and retail of magnetic materials and devices, amorphous materials, motors, and electronic products. It is expected to complete construction by the end of May 2025.

Through this joint venture and cooperation, it will effectively enhance the production capacity and technical level of rare earth rare earth magnetic materials in the north, increase the added value of products, strengthen the chain extension and chain strengthening, better transform resource advantages into the advantages of coordinated development of upstream and downstream industries, and enhance The market competitiveness of rare earth magnetic material products and the value creation capabilities of the industrial chain help enterprises become better, stronger and bigger, provide strong support for Northern Rare Earth to build a world-class rare earth leader, and help Baotou Steel Group to build "two rare earth bases.”

What are some companies currently making NdFeB, or neodymium-iron-boron magnets?

Neodymium-Iron-Boron (NdFeB) magnets are essential components in various industries due to their exceptional strength and versatility. Several leading manufacturers dominate the global market.

Some of the largest Neodymium-Iron-Boron (NdFeB) magnet manufacturers include: Arnold Magnetic Technologies (opens in a new tab), Eclipse Magnetics (opens in a new tab), Goudsmit Magnetics (opens in a new tab), Chengdu Galaxy Magnets (opens in a new tab), Ningbo Yunsheng Co Ltd (opens in a new tab), and Yantai Shougang Magnetic Materials (opens in a new tab), with most of these companies based in China, specializing in the production of sintered and bonded NdFeB magnets.

Note the latter company, Yantai Shougang Magnetic Materials is the largest sintered NdFeB magnet producer in China by 2018.  The company boasts on its website that 83% of China's rare earth resource is controlled by their shareholder, China Northern Rare Earth Group, the Chinese octopus with tentacles throughout the Chinese REE space.