Neo Performance Materials Inc. commenced commercial production at its permanent magnet facility in Estonia. The plant is now shipping sintered rare earth magnets to a Tier 1 electric vehicle (EV) traction motor customer. This milestone marks the company's transition from development and sampling to full automotive qualification.
The company secured multiple magnet programs from three Tier 1 motor manufacturers for traction motor applications. Neo expects two to three of these customer programs to enter commercial production by the end of 2026.
The facility’s first phase maintains a nameplate capacity of approximately 2,000 metric tonnes per year. Plans are underway to expand total capacity to 5,000 metric tonnes.