Correction: Quadrant plans Kentucky RE magnet plant

Corrected to clarify that the project is being developed independently of Quadrant's supply relationship with China's Foresee Group

US magnet specialist Quadrant has announced plans to build a $95mn plant to manufacture rare earth magnets for EV motors and other high-tech applications, in Louisville, Kentucky.

"As electric vehicle [EV] production continues to ramp up across the automotive sector, we will continue to see growth of EV-related companies in the commonwealth [Kentucky]," the state's governor Andy Beshear said on Friday.

High-performance neodymium iron boron (NdFeB) rare earth magnets are a critical component in EV motors because they provide much better energy efficiency than alternatives, reducing battery costs and increasing drive range. Expectations of increased demand for such components, coupled with growing concerns over supply chain security, have prompted governments and companies around the world to look at ways to develop raw material and manufacturing capacity for NdFeB magnets.

San Diego-based Quadrant has since 2001 operated an engineering and assembly hub in Louisville where it finishes and installs rare earth magnets.

"Quadrant's decision to build this factory was made independently and with the help and assistance of many individuals in the Louisville, Kentucky community for over a year," a company spokesperson told Argus. "We are thankful for the great support from Team Kentucky and the Mayor's office as well."

Quadrant's internal design and production team is working out details of the plant's layout, equipment and supply chain, the spokesperson said, adding that the plant's capacity will be determined at the final design stage, but initial estimates are for 1,500-2,000 t/yr of NdFeB magnets by 2024.

The plant would be the first commercial-scale sintered NdFeB magnet manufacturing facility to be operational in the US for many years. The technology needed to produce such magnets originated in the US and Japan but the vast majority of magnet manufacturing capacity is located in China.

By Caroline Messecar