Takeaways from Rare Earth Permanent Magnet Industry Discussion

Research evidence excerpt

Takeaways from Rare Earth Permanent Magnet Industry Discussion

UpdateM

Continued

NdFeB intensity reduction is mainly about HREEs, not total rare earth content: Total

rare earth content in NdFeB magnets has only declined modestly over the past two

decades, according to the expert, from ~32% to ~30.5%. Most of the improvement has

come from reducing Dysprosium (Dy) and Terbium (Tb) use, where grain boundary

diffusion, grain boundary engineering, smaller grain size, and lower application

temperatures have cut heavy earth rare element (HREE) demand by 50% or more in some

applications.

NdPr substitution looks more limited: The expert framed Neodymium-Praseodymium

(NdPr) as more structurally embedded in NdFeB magnet chemistry. Pr substitution has

helped broaden usable supply, while Ce/La-substituted grades have grown into a lower-

cost product family. However, these grades fill a performance gap between NdFeB and

lower-performance magnets, such as ferrite and alnico, rather than replacing high-

performance NdFeB.

Rare-earth-free magnets remain application-specific: The expert does not expect a

broad shift away from NdFeB. Ferrite, alnico and iron-nitride serve selected applications,

but NdFeB retains a strong price-performance position. Iron-nitride is still under

development and appears more relevant for lower-temperature applications. The more

likely outcome is differing growth rates across magnet types and motor technologies,

rather than broad displacement of NdFeB.

For wind generation, substitution depends on capital cost, maintenance and turbine

architecture: The expert noted that wind generation began with induction systems and

has also trialled ferrite magnets. In the West, induction systems can still be commercially

attractive.