Asia’s biggest carmaker has developed a magnet for the motors that as much as halves the use of a rare earth called neodymium and eliminates the use of others called terbium and dysprosium, the company said at a briefing in Tokyo on Tuesday.
In their place, Toyota will use the rare earths lanthanum and cerium, which cost 20 times less than neodymium. The carmaker plans to ask suppliers to manufacture the magnets.
Toyota sees demand for neodymium exceeding supply from 2025, by which time the carmaker intends to be offering an electrified version of every vehicle in its lineup. By 2030, Toyota aims to sell 5.5 million electrified vehicles — including 1 million wholly battery- or hydrogen-powered cars — accounting for half of its projected deliveries. Motors with the magnets can be used in any electrified powertrain, the company said.
Rare earths along with metals like lithium and cobalt are seeing soaring demand from a growing electric vehicle market, propelled mainly by increasingly stringent emissions restrictions worldwide.
Enjoy curated articles directly to your inbox.