According to Jiwei Network News, Schaeffler recently announced that it has signed a five-year rare earth supply agreement with the Norwegian rare earth separation company REEtec.
(Source: Company's official website)
The agreement is also the first time in public reports that a European auto supplier has sourced rare earths from Europe. As Germany's fifth-largest automotive manufacturer, Schaeffler is also a leading company in the bearing field, supplying components to automakers such as Volkswagen, GM and Toyota.
Schaeffler COO Andreas Schick said the company's supply agreement with REEtec will begin in 2024. At present, the company is rapidly transforming into an electric vehicle supplier, so in terms of rare earths, it can not only rely on the industry standard supply chain, but also need suppliers from Europe.
In recent years, automakers have repeatedly extended their hands to upstream miners, especially battery materials such as lithium and nickel, but the action in the rare earth sector is rare. At present, the European Union, the United Kingdom, and the United States are eager to establish local rare earth and magnet supply chains. According to media statistics, 98% of the permanent magnets needed in the European market are imported from Chinese suppliers.
(Proofreading/Andy)