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Noveon Magnetics and Kangwon Energy Join Forces to Build a New Rare Earth Magnet Facility in South Korea

In a groundbreaking partnership, Noveon Magnetics has announced a signed Memorandum of Understanding (MOU) with Kangwon Energy Co., Ltd. The joint initiative aims to establish a production facility in South Korea, designed to manufacture up to 2,000 tons of sintered NdFeB rare earth permanent magnets each year, a crucial component for various high-tech applications.

Located in the heart of the growing technology ecosystem in Korea, this facility represents a significant step in Noveon’s strategy to expand its market presence globally. As the only operational manufacturer of sintered NdFeB rare earth magnets in the United States—having reshored production after over 20 years—Noveon brings a wealth of experience to this collaboration.

Scott Dunn, the CEO of Noveon Magnetics, emphasized the importance of this collaboration: "This partnership represents a major milestone in Noveon's mission to build a secure, diversified, and resilient rare earth magnet supply chain outside of China. We aim to provide reliable access to these critical components for industries ranging from automotive to defense."

The partnership leverages Noveon's advanced magnet manufacturing technologies alongside Kangwon's engineering proficiency and strong industry connections. This strategic combination will ensure that Korean manufacturers have localized access to key materials, thereby reinforcing the resilience of regional supply chains critical for various sectors, including automotive, industrial, electronics, and energy.

Under the MOU, both companies will collaboratively design, construct, and manage the new facility. They will utilize Noveon's proprietary technologies coupled with Kangwon’s extensive expertise in engineering and construction. This includes capabilities in managing the complete lifecycle of plant development, from powder handling and mixing to thermal treatment and environmental compliance.

The new facility is poised to address the increasing demand for non-Chinese rare earth permanent magnets, driven by the burgeoning technology landscape in South Korea and the broader Asia-Pacific region. This MOU also reflects the synergies and strong trading relationship between the United States and South Korea, further cementing economic collaborations critical to both nations.

Jinyong Shin, CEO of Kangwon Energy, heralded the agreement as a step towards advancing the future of industrial growth in Korea. "This joint venture will not only serve our nation’s industrial needs but also align with our vision for a sustainable and resilient global supply chain," he noted.

Set to commence operations in 2027, the facility will deliver high-performance sintered NdFeB magnets essential for manufacturers in renewable energy, defense, and electronics sectors. Noveon is optimistic about contributing to the local market and helping customers transition to a more reliable and diversified supply of magnets.

About Noveon Magnetics

Noveon Magnetics stands as a leader in the manufacturing industry, championing sustainable practices through its unique EcoFlux™ technology. This innovation allows for the recycling of materials while producing high-performance magnets that fulfill various industrial demands. Their solutions cater to a diverse range of applications, including electric vehicles, wind turbines, motors, and more.

About Kangwon Energy Co., Ltd.

Kangwon Energy is recognized for its engineering expertise in areas such as industrial boilers and secondary battery equipment. Embarking on the journey into rare earth magnet manufacturing, Kangwon aims to bolster Korea’s energy and advanced materials sectors, fortifying the country’s infrastructure for the future.

Noveon and Kangwon’s collaboration marks a promising development in the landscape of rare earth magnet production and showcases the importance of strategic partnerships in navigating today’s complex manufacturing ecosystems.