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| Vulcan Elements |
Vulcan Elements Advances Domestic Rare Earth Magnet Production Amid Global Supply Risks
Vulcan Elements has emerged as a new contender in the US rare earth magnet manufacturing sector. The company recently secured a supply agreement with ReElement Technologies, offering prices significantly below the US Department of Defense’s floor price of $110 per kilogram. This move challenges MP Materials, the sole US producer at Mountain Pass, California, aiming to reduce US reliance on China’s dominance in rare earth processing and refining.
Strategic Growth Fueled by US Funding and Defense Industry Support
Vulcan Elements raised $65 million in Series A funding to expand its commercial-scale facility in Durham, North Carolina. The firm won the Advanced Manufacturing Innovation Award for Maritime Readiness, supported by the US Department of Defense. CEO John Maslin emphasizes the company’s commitment to execution and scaling production to serve both commercial and defense sectors with domestically sourced materials, including neodymium iron boron magnets, critical for electric vehicles and advanced technologies.
Domestic Supply Chain Resilience Through Traceable, Allied-Sourced Materials
Vulcan Elements ensures full traceability for all materials, sourcing rare earths, iron, and boron from US and allied mines, as well as recycled magnets. The company prioritizes supply chain security by excluding materials from entities of concern. Their production approach targets multi-thousand-ton capacity by decade’s end, supporting critical technologies such as AI, robotics, and aerospace. This strategy aims to address the global rare earth magnet supply risk posed by China’s current near-monopoly.
ScrapInsight Commentary
Vulcan Elements’ rise reflects critical shifts in the rare earth magnet supply chain driven by geopolitical risks and increasing demand. The company’s US-focused sourcing and strategic funding enhance supply chain resilience, potentially easing cost pressures. This development marks a pivotal step for the domestic rare earth sector amid global technological competition and policy moves toward supply diversification.
