The rare earth minerals industry is growing tremendously as more and more upcoming industries are using rare earth minerals. According to Global Market Insights, rare earth minerals will be used in many upcoming industries due to the “growing product demand across Asia-Pacific, increasing adoption of magnets, and global shift towards clean energy.” Because of this, rare earth minerals will monopolize 25% of the minerals produced.  Here are some examples of industries that will promote the growth of the rare earth minerals industry: Electric & Hybrid Cars Electric and Hybrid cars are becoming increasingly popular due to the shift in consumer sentiment toward clean energy, lower overall cost, the desire to reduce emissions, increase use of commercial electric vehicles, etc. Due to COVID-19, many countries are planning to make large investments in electric vehicle charging stations to help with economic recovery. For instance, China is investing $378 million in charging infrastructure to help with economic recovery.  Nearly every hybrid and electric car on the road relies on neodymium magnets to power their motors and batteries. When the electric motor is assembled, magnets are the primary component. Electric motors are made of a coil of wire that can spin and are encircled by strong magnets. When an electric current is induced in the coil, it emits a magnetic field, opposing the magnetic field emitted by the strong magnets. Due to the magnet poles, the magnets repel each other causing the coil to spin or rotate at a high speed. This coil is attached to an axle that allows the wheel to move.  As you can see, magnets play a very important role in the assembly of electric vehicles. With electric vehicles being the talk of the future, the rare earth minerals industry will largely be affected.  Maglev Trains  If, or when, maglevs become a reality, passengers will be able to travel between Los Angeles and San Francisco at speeds surpassing 700 miles per hour. This 6-hour long car ride would take 30 minutes by maglev train. Many countries are starting to engineer and implement extremely high-speed trains with magnets. For instance, Japan used magnets to create a record-breaking train that can travel at 366 miles per hour Maglevs are able to travel so quickly because magnets replace the wheels making the ride completely frictionless. These trains are suspended by superconducting electromagnets, requiring constant supply of high-voltage electricity. There are metal coils beneath the track that act like a guiding force, so as the train accelerates, the magnetic field induces a current in the coils, correcting the train if it moves off its center. To learn more about maglev technology, visit our blog here.  Self-Driving Cars Similar to electric vehicles, self-driving cars are revolutionizing the automobile industry. Currently there are no fully operating self-driving cars; however, car companies such as Volvo have been testing autonomous vehicles and Tesla has self-driving features in their vehicles.  Volvo tested their autonomous vehicle by placing disc magnets underneath the surface of the road, creating an invisible railway that would pull the car along. These road magnets would add some reassurance and helpful guidance to a self-driving car or truck by ensuring accurate and reliable positioning. Whether vehicles become fully autonomous in the future or remain partially autonomous, magnets will play a large role in the production which will help the industry grow tremendously.  How Will This Impact the Rare Earth Market? You may be asking yourself how will these major applications of rare earth minerals impact the market? According to Global Market Insights, the rare earth market is growing at 10.8% compound annual growth rate (CAGR) by 2026 meaning that the rare earth market is expected to hit nearly $19.8 billion by 2026 (compared to $13.2 billion in 2019). In addition, according to this report the Asia-Pacific market is expected to hold the largest market share of 55% by 2026. This is because of the large amount of rare earth metal reserves in this area.  As you can see, the rare earth market is expected to grow tremendously. The combination of upcoming industries that will use rare earth minerals and the overall shift toward clean and renewable energy as a society, will make the rare earth minerals industry revolutionary. Apex Magnets At Apex Magnets, we offer a wide range of neodymium magnets that are perfect for various industrial applications. Feel free to contact Apex Magnets today at 1-304-257-1193 or send us a message.  Don’t forget, we offer custom magnets that will meet your specific business needs. Simply fill out the custom magnet request form, and it will be reviewed within 1-2 business days. We will respond as quickly as possible!