Cyclic Materials, Vacuumschmelze partner to recycle critical magnet manufacturing by-products
Cyclic Materials has partnered with Vacuumschmelze (VAC). The companies have signed an agreement ensuring that by-products containing critical materials used in high-performance permanent magnets will be recycled. This partnership aims to create a local and sustainable supply chain for these magnets, which are critical components for electric vehicles (EVs), hybrid vehicles, wind turbines, and modern electronics.
VAC produces rare earth neodymium-iron-boron (NdFeB) magnets, which are essential to automotive, defence, industrial, and renewable energy applications. Recently, the company unveiled plans to build a magnet manufacturing plant for its e-VAC Magnetics subsidiary in the U.S. with Department of Defense support.
"Cyclic Materials' mission is to ensure all permanent magnets are recycled back into the supply chain, reducing the pressure to open new mines," says Ahmad Ghahreman, co-founder and CEO of Cyclic Materials. "Our partnership with VAC will bring us closer to achieving our goal. VAC will provide local sources of raw materials and decades of experience in rare earth magnet technology, making a western supply chain for rare earth elements possible."
The companies have agreed to recycle by-products through Cyclic Materials proprietary magnet recycling processes in North America. This joint effort will produce recycled raw materials that have as much as 75 percent lower carbon footprint compared to mined raw materials, thereby allowing the sourcing of environmentally friendly rare earth magnets with lower Scope 3 emissions. Industries from wind energy to automobile manufacturers can then use these magnetic components to meet their net-zero production goals.
"We are proud to work with Cyclic Materials to advance circularity of the critical materials required for the energy transition," said Erik Eschen, CEO of Vacuumschmelze. "Our recycling partnership will ensure that critical materials remain local and re-enter our supply chains, providing key industries with the high-performance permanent magnets required to meet consumer demand and achieve global sustainability goals."
