GM and Stellantis, two prominent automakers, have invested a total of $33 million in Niron Magnetics, a Minnesota-based company specializing in magnet production for electric vehicles (EVs). This funding will enable Niron to manufacture magnets for EV motors without relying on expensive rare-earth metals, a significant breakthrough in the industry.
Niron Magnetics has developed a technology that utilizes iron nitride to create permanent magnets. Compared to rare-earth minerals, iron nitride is abundant and cost-effective. With the backing of General Motors and Stellantis, Niron aims to scale up its production and make these magnets readily available.
The investment from GM and Stellantis comes at a time when the growth of electric vehicle sales is beginning to slow, and both automakers have started reevaluating their spending strategies. Despite this, GM remains committed to its EV plans, as stated by Kai Daniels, supervising principal of GM Ventures. She assured reporters that GM’s dedication to their EV strategy remains unwavering.
GM and Stellantis have not disclosed the exact amount of their investments in Niron; however, GM has mentioned that the two companies will collaborate on the development of electric vehicle magnet motor technology. Furthermore, Daniels stated that this investment will aid GM in establishing its electric vehicle supply chain in North America, a crucial requirement for vehicles to qualify for U.S. federal tax credits.
Jonathan Rowntree, CEO of Niron Magnetics, confirmed that testing has demonstrated the effectiveness of the company’s magnets, and the partnership with GM will facilitate large-scale manufacturing. Niron, currently employing 60 individuals, plans to double its workforce by the end of the year and subsequently double it again next year as production increases.
These magnets produced by Niron can find application in a wide range of sectors, including consumer electronics, industrial motors, pumps, compressors, wind turbines, and more. The significance of Niron’s breakthrough lies in its ability to provide durable and cost-efficient magnets, addressing the need for sustainable and affordable materials in the electric vehicle industry.
In conclusion, the investments from GM and Stellantis in Niron Magnetics mark a major milestone in the production of magnets for electric vehicle motors. By utilizing iron nitride instead of expensive rare-earth metals, Niron aims to revolutionize the market by providing a sustainable and accessible solution. With the backing of leading automakers, Niron can scale up its operations and drive the adoption of electric vehicles globally.
