General Motors (GM) and Niron Magnetics, a company headquartered in Wisconsin, have formed a joint venture to work together on developing a type of electric motor magnet that can be made without the need for rare earth materials, which are mostly imported from China.
The development of electric vehicle (EV) motors depends on permanent magnets, which are frequently the size of a deck of cards.
Terbium, dysprosium, praseodymium, and neodymium are common rare earth elements in these magnets that are needed to turn energy into motion and speed up an EV, according to The Verge.
According to the United States Geological Survey, China now controls a significant share of the world's supply of rare earth minerals and leads the worldwide supply chain. Furthermore, China is responsible for nearly 90% of the materials needed for EV motor magnets, according to Niron, which raises questions about reliance on one supply.
No More Need to Import Rare Earth Minerals from China
Niron Magnetics, a very modest business with around 60 employees and its headquarters located in Minnesota, claims to have invented patented processes for making high-performance magnets out of only iron nitride, according to CBS News.
There is no longer any need to import rare Earth minerals as these elements are inexpensive and easily available.
The use of ordinary materials is anticipated to significantly lessen the environmental effects connected with mining and processing, in addition to resolving the geopolitical issues related to obtaining minerals from China. Moreover, it may make EV motors more affordable; however, Jonathan Rowntree, CEO of Niron, did not provide a precise percentage decrease.
GM's venture capital division's supervising principal, Kai Daniels, as quoted by CNN, said, "Our teams will co-develop iron nitride motor magnet technology, which we plan to use in future GM EVs."
Other investors have taken notice of the relationship; Niron named participants Stellantis Ventures and Volvo Car Tech Fund. Among the investors is Stellantis, a company well-known for its automotive brands, which include Fiat, Chrysler, Dodge, and Jeep.
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Although the exact amount that GM contributed to Niron is still unknown, the whole investment—which also includes donations from organizations like the University of Minnesota and the Shakopee Mdewakanton Sioux Community—amounts to $33 million.
Beyond EV Industry
The novel magnet technology developed by Niron has potential uses not just in the automobile industry but also in consumer electronics and other vehicle parts, including air circulation units and gasoline pumps.
By participating in this agreement, GM is securing the future of its electric passenger cars in the US and advancing its larger goal of creating a local supply base for electric vehicles. GM made a commitment to sell exclusively electrified passenger vehicles in the US by 2035.
But because China mines and processes these rare metals almost exclusively, worries have grown in response to the rising tensions between the US and China. This has caused the auto industry to look for other, domestic sources for these important materials.
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