New Report Provides Landscape for UK Rare-Earth Resilience

Date: 13 April 2026

Magnet recycling and rare-earth free motors offers the UK an opportunity to establish infrastructure, secure feedstock flows, and support innovation in E-motor technologies. 

Doing so will strengthen national supply chain resilience, reduce dependence on geopolitically sensitive materials, and position the UK as a leader in the emerging circular economy for critical minerals, in the journey toward net zero. 

The Rare-earth resilience for the UK’s automotive industry report, finds that the UK has the potential to meet a quarter of its magnet demand for automotive applications through magnet recycling by 2035.  

The world is currently facing a chokehold on rare-earth materials, with China dominating the industry. More than 90% of the refinement and manufacturing of the rare-earth materials is done in China, which has caused supply chain risks and vulnerabilities due to the recent tariff and geopolitical issues.  New rare-earth mines can take between 9 and 15 years to scale up. 

There are also innovation opportunities to improve rare-earth resilience of the industry by investing in non-permanent magnet motors.  

Dr Hadi Moztarzadeh, Head of Technology Trends, 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 (PMSMs) 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 (EoL) 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.” 

Read the Rare-earth resilience for the UK’s automotive industry report.