The race to manufacture rare earth magnets in America is underway. Which is exactly why Lynas Rare Earths has just struck a new partnership.
What’s happening:
- Lynas Rare Earths (ASX: LYC) has formed a new partnership with Noveon Magnetics to develop a fully integrated supply chain in the United States for rare earth permanent magnets
Why it matters:
- Lynas Rare Earths is one of the single largest producers of rare earth elements in the entire world
Going deeper:
- Lynas Rare Earths will supply Noveon Magnetics with both light and heavy rare earth elements to be manufactured into magnets for military purposes and automotive production
- Noveon Magnetics previously made waves when they partnered with General Motors (NYSE: GM) to supply them with rare earth magnets for manufacturing full size SUVs and trucks
The intrigue:
- Lynas Rare Earths also recently raised their single largest financing round ever, which they publicly stated was partially to accelerate the expansion of their rare earth business into North America amidst a global shift to reduce dependence on China for rare earth elements
