The Hunt for a New Kind of Magnet to Power the Future

Magnets are everywhere. From your smartphone and speakers to electric vehicles and wind turbines, these small but powerful components form the backbone of modern technology. Despite their low profile, magnets are indispensable to modern life—and as we push toward a cleaner, greener future, their importance is only increasing.

Yet, lurking behind this vital technology is a looming global challenge: supply chain vulnerabilities and geopolitical dependencies. At the heart of the magnet world is a race to develop the next generation of magnetic materials—ones that are not only powerful but also more sustainable and less reliant on rare earth metals.

Why Magnets Matter More Than Ever

Magnets are essential to clean energy technologies. In electric motors, permanent magnets interact with electromagnet-induced fields to generate motion. In wind turbines, the reverse happens—motion creates electricity through the spinning of magnets. These devices simply wouldn’t function without magnets.

The magnet industry is big business. In 2023, the global market for permanent magnets reached $38 billion. These magnets are predominantly made from rare earth metals, especially neodymium—a powerful material, but one with a fragile and politically sensitive supply chain.

The China Factor

Although rare earth metals like neodymium are found in various parts of the world, China dominates the rare earth magnet industry, controlling about 92% of global production. This dominance is not due to scarcity but rather China’s strategic investments over decades in mining, refining, and production infrastructure.

The risks of over-reliance became clear in 2010, when a political dispute between China and Japan threatened to cut off Japan’s access to rare earths. The incident sparked panic, drove up prices, and reminded the world how vulnerable modern technology is to rare earth supply chains.

A Global Search for Alternatives

To reduce this dependence, efforts are underway worldwide. In Norway, for example, exploration is underway to establish Europe’s first significant rare earth mine. However, creating a new supply chain is slow, expensive, and fraught with regulatory challenges. It may take over a decade for such operations to scale.

In response, scientists and entrepreneurs are pursuing a more innovative solution: inventing entirely new types of magnets that bypass rare earths altogether.

Iron Nitride: A Promising New Contender

At the University of Minnesota, Professor Jian-Ping Wang has spent over 20 years researching iron nitride magnets—a potential breakthrough that combines two abundant elements: iron and nitrogen.

Iron nitride magnets promise comparable power to rare earth magnets without the geopolitical baggage. But there’s a catch: they’re notoriously hard to produce. Developing a stable molecular structure for iron nitride is complex, which initially deterred many researchers. Undeterred, Wang and his students built custom equipment to experiment with the material.

Their work eventually led to the formation of Niron Magnetics, a company aiming to bring iron nitride magnets to market. Backed by over $100 million in funding, Niron has made significant progress using a nanoparticle-based production method. They begin with iron oxide (rust), convert it into iron nitride, and compact it into aligned particles to form strong magnets.

Niron is initially targeting audio applications like speakers and electric guitar pickups but has also attracted interest from automakers like GM and Stellantis. Within 3–5 years, the company hopes to apply its magnets to electric vehicles.

However, iron nitride magnets still face performance issues, particularly their lower coercivity—the resistance to demagnetization. In static applications, this isn’t a problem. But in motors, where magnets interact dynamically, coercivity is crucial. This challenge means more R&D is still needed before these magnets can fully replace rare earth-based versions.

The Magnetic Future of Fusion Energy

While Niron tackles today’s challenges, others are focused on the future—specifically, nuclear fusion. Fusion energy, long seen as the holy grail of clean power, requires incredibly strong magnetic fields to contain plasma heated to over 100 million degrees Celsius.

Traditional fusion reactors used copper magnets, which waste a lot of energy due to electrical resistance. To overcome this, scientists turned to superconductors—materials that conduct electricity with zero resistance. But traditional superconductors require ultra-cold temperatures near absolute zero, limiting their strength and practicality.

The game-changer came in the form of high-temperature superconductors (HTS)—thin tape-like materials that still need cooling but can operate at relatively higher temperatures. These allow for smaller, more powerful magnets, which are essential for compact fusion reactors.

Commonwealth Fusion Systems: Shrinking the Sun

Founded in 2018 by MIT researchers, Commonwealth Fusion Systems (CFS) is leading the charge in fusion innovation. Using HTS magnets, the company has reduced the size of fusion reactor components by a factor of 10. This not only cuts costs but also accelerates development.

At their facility, CFS is assembling their flagship tokamak reactor using these superconducting magnets. Each magnet is meticulously crafted in a spiral “pancake” shape and tested at extreme currents of up to 35,000 amps.

CFS has raised nearly $2 billion in funding—including investments from Breakthrough Energy Ventures, a VC firm founded by Bill Gates. If successful, CFS plans to build its first commercial fusion plant in the early 2030s.

Yet, despite the excitement, commercial fusion power is still unproven. Achieving net power—where the reactor produces more energy than it consumes—has only occurred in labs and not yet at scale. Still, the industry is optimistic that breakthroughs in magnet technology could be the tipping point.

A Magnetic Revolution

From audio speakers and EVs to nuclear fusion, magnets are evolving at an unprecedented pace. Scientists are rewriting the molecular makeup of magnetic materials, mirroring past transformations like those seen with lithium-ion batteries and semiconductors.

While challenges remain, new magnets could help solve pressing environmental and geopolitical problems. Whether in a compact electric car motor or a fusion reactor that mimics the sun, the future of magnets is full of possibility—and invisible forces with the power to reshape our world.