POSCO INTERNATIONAL and ReElement to build first integrated rare‑earth magnet complex in the US
- POSCO INTERNATIONAL and ReElement will jointly invest USD 200 million to establish a rare‑earth separation and purification plant and an integrated permanent‑magnet complex in the United States.
- The project targets 6,000 t/yr capacity after a two‑phase buildout (3,000 t/yr initial), with pilot production in Q4 2027 and full mass production in 2028.
- USD 100 million is allocated to plant, equipment and initial operations and USD 100 million reserved for future expansion; POSCO will be the majority shareholder and ReElement will supply core separation technologies.
- Planned products include neodymium and praseodymium oxides and heavy rare‑earth oxides (dysprosium, terbium), with later expansion into permanent magnets and EV traction motor core manufacturing; feedstocks will include Southeast Asian ores and recycled materials.
Deal and partners
POSCO INTERNATIONAL signed an agreement with ReElement Technologies on May 21 to form a joint venture to build rare‑earth separation and purification capacity and an integrated permanent‑magnet production complex in the United States. The signing was attended by senior U.S. government officials and representatives from the South Korean embassy. POSCO will be the majority owner and lead JV management; ReElement will provide its separation and purification technology.
Investment and capacity
The partners will jointly invest USD 200 million. USD 100 million will fund plant construction, equipment and initial operations, and USD 100 million is earmarked for expansion. The JV intends a two‑phase build: an initial 3,000 t/yr and a second phase raising capacity to 6,000 t/yr.
Timeline and outputs
Pilot production is scheduled for the fourth quarter of 2027, with full‑scale mass production planned for 2028. Initial product slate includes neodymium (Nd) and praseodymium (Pr) oxides and heavy rare‑earth oxides such as dysprosium (Dy) and terbium (Tb), with later moves into permanent magnets and EV motor core manufacturing.
Strategic context and feedstocks
The project advances U.S. efforts to reduce reliance on concentrated global suppliers through initiatives like the Minerals Security Partnership and Project Vault. The JV will pursue Southeast Asian mine investments, operate a joint raw materials task force to manage mined and recycled inputs, and leverage ReElement’s process for converting ores, brines, coal by‑products and recycled magnet and battery materials into high‑purity products.
Source: POSCO
