APC report maps UK rare-earth resilience options

A report by the Advanced Propulsion Centre (APC) finds that the UK could source up to 25% of its automotive permanent magnet demand through recycling by 2035, amid growing supply chain risks from China’s near-total control of rare-earth material processing. The findings also identify rare-earth-free motor technologies as an additional route to reducing that exposure.

China currently accounts for more than 90% of global rare-earth refinement and manufacturing, creating supply vulnerabilities compounded by recent tariff and geopolitical pressures. New rare-earth mines take between nine and 15 years to reach commercial scale, limiting near-term alternatives.

The report focuses on permanent magnet synchronous motors (PMSMs), which it identifies as the dominant motor type in the EV industry. APC’s Q4 Automotive Demand Forecast projects PMSM demand across Europe will reach almost 13 million units by 2035, representing nearly 70% of total European traction motor demand.

Dr Hadi Moztarzadeh, Head of Technology Trends at APC, said: “The accelerating transition to electric mobility and renewable energy is driving unprecedented demand for rare earth permanent magnets, particularly neodymium (NdFeB) magnets used in high-efficiency electric motors. Permanent magnet synchronous motors are the dominant E-motor used in the EV industry due to their superior performance and efficiency. However, these machines rely on rare-earth materials. Our APC Q4 Automotive Demand Forecast suggests that PMSM will be dominating the European traction motor demand landscape by 2035, with a demand of almost 13 million motors, nearly 70% of total European demand. The UK has a strong opportunity to build a competitive domestic recycling ecosystem. This report indicates that if scaled effectively end-of-life EV motors and wind turbines could supply up to 25% of the UK’s future permanent magnet demand by 2035. The report also highlights the innovation opportunities for scaling up rare-earth-free technologies for traction motor applications.”

Source: APC