Physics Today: Wanted: Non-Chinese Rare Earth Elements
Conditions ripe for Japanese magnet manufacturer to establish capacity in the U.S.
In September 2018, Adamas Intelligence spoke with Physics Today about the escalating U.S.-China trade war and its underscoring of the U.S.’ growing reliance on China for critical supplies of rare earth elements.
Among the key points emphasized during the discussion:
- Given that there is currently no American-based alternative to China, it’s unclear how tariffs would have offered the US any near-term upside or how they would have inflicted any pain on China, so it makes sense that following consultation with industry and end-users, the plan has been abandoned.
- Concern that China may limit supplies as the trade war escalates, coupled with the U.S.’ newly imposed ban on defense-related purchases of NdFeB magnets from China, makes the business case for a Japanese magnet manufacturer to establish production capacity in the U.S. evermore attractive.