The project: Establishing a Hessian value chain for magnetic materials made from rare earths

The availability of rare earths depends on only a few players, which further increases the criticality of these raw materials. In the federal state of Hesse, there is an exceptional opportunity to establish a value chain for magnetic materials made from rare earths, as all the expertise is available in Hesse. For this reason, the experts in the field of rare earth magnetic materials at Fraunhofer IWKS have decided to strategically bundle all players in order to guarantee the supply of rare earths. In a kick-off event in the form of a think tank, representatives from politics, industry and research met at the Fraunhofer IWKS in Hanau on May 23, 2024. In keynote speeches, various stakeholders explained the indispensability of this value chain, a best practice example from the USA and the political framework conditions for this project.

In the second part of the event, the conditions for the technologies and the political framework were worked out.

 

 

 

Here are some key statements that will be discussed in further events:

• Chinese magnets are currently cheaper than the raw material prices traded on the market; this would not be possible under free market conditions
• The competitive conditions in Germany are made more difficult by subsidies, export restrictions and regulations, which is why the involvement of players from industrial policy is essential
• Solutions must also be developed at European level. However, Hessen can be made more attractive as a location, as many companies with many years of expertise in the field of rare earths already operate here