Highlights
- UK is entirely dependent on imports for rare earth permanent magnets, with no domestic manufacturing capabilities.
- 4,200 tonnes of rare earth elements are embedded in UK electric vehicles and wind turbines, with virtually no recycling infrastructure.
- The current system loses almost all rare earth elements from decommissioned EVs, representing a significant economic and strategic missed opportunity.
A first-of-its-kind UK-focused study, led by Dr. Wan-Ting Hsu and colleagues at the British Geological Survey and the University of Exeter, reveals a critical supply chain vulnerability for rare earth permanent magnets (REPMs) in clean energy technologies. By mapping the flows and stocks of four key magnet rare earth elements—neodymium (Nd), dysprosium (Dy), praseodymium (Pr), and terbium (Tb)—from 2017 to 2021, the study exposes a UK value chain wholly dependent on imports and largely blind to the economic potential of circular recovery.
So, what did the authors find?
From important dependence and fragmentation to end-of-life loses and circular economy lab, Britain is not doing well on the rare earth element front. For example the UK imported 7787 tonnes of REEs embedded in magnets and 1238 tonnes in chemical form, yet has no domestic REPM manufacturing. Refined REE metals produced in the UK are mostly exported—while finished magnets are re-imported at a premium.
Second, an estimated 4200 tonnes of magnet REEs now sit in UK electric vehicles and wind turbines—equivalent to 10% of global annual mine production. Yet, no meaningful recycling or recovery infrastructure exists. Moreover, virtually all REEs embedded in retired EVs and wind turbines are lost in waste streams due to a lack of dismantling, sorting, and recovery pathways. Only ~5 tonnes were captured from ~5500 decommissioned EVs.
Finally, while recyclers like HyProMag and Ionic Technologies are ramping up, the study warns that the UK lags behind global peers in scaling reverse supply chains. Most magnet REE content is still discarded as waste.
Data and Policy Gaps
The study highlights major barriers: missing trade codes for REE-containing goods, lack of traceability at the component level, and underreporting in manufacturing datasets. As a result, policymakers lack reliable tools to govern, incentivize, or secure the REE supply chain.
Conclusion and Implications
This study is a wake-up call—not just for the UK but for all Western nations reliant on Chinese REE supply chains. Without urgent investment in domestic magnet manufacturing, targeted recycling, and real-time material tracking, the UK will remain a downstream consumer in a resource war it cannot win. The 4200 tonnes of Nd, Dy, Pr, and Tb embedded in UK infrastructure offer a once-in-a-generation opportunity—if a circular economy can be built fast enough to capture it.
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