Europe aims to become the first climate-neutral continent by 2050. In this context, rare earth elements (REEs) are essential materials for Europe’s economy and green political agenda. In fact, 80% of the REEs demand, in value, is driven by the production of powerful permanent magnets containing neodymium (Nd), praseodymium (Pr), terbium (Tb) and dysprosium (Dy) used in high-energy efficient electric motors. Such devices are vital for electric vehicles, renewable energy technologies, robotics, as well as aerospace and defense applications.
According to the Rare Earth Magnets and Motors: A European Call for Action report released by the European Raw Materials Alliance (ERMA), “while REEs used for magnets (Nd, Pr, Tb, Dy) constitute only 25% of the total rare earths production volume, they represent 80% to 90% of the total rare earths market value”. However, the major challenge nowadays in the REEs European value chain is the heavy reliance on imports, i.e., more than 90%. This is translated into a high supply risk for these materials to Europe and so to a vulnerable transition towards a green economy.
