A $1.8 billion bet, a new U.S. plant, and rare-earth-free magnets at scale, Niron’s next move signals a quiet shift reshaping global supply chains and industry dependence.
Niron Magnetics has begun selecting a location for a new high-capacity manufacturing plant in the United States, with an estimated investment exceeding $1.8 billion. The facility will focus on producing iron-nitride magnets at scale.
To identify suitable locations, the company is collaborating with global real estate advisory firm Savills. According to Executive Managing Director Ken Biberaj, the chosen site must be capable of supporting a highly specialised and scalable manufacturing operation.
Once operational, the new plant is expected to contribute up to 2% of the global permanent magnet supply, marking a significant expansion of Niron’s production capabilities.
This will be the company’s second facility in the U.S. In September 2025, Niron broke ground on a $169.7 million plant in Sartell, Minnesota. Spanning 190,000 square feet, the facility is projected to create 175 jobs and produce rare-earth-free magnets for applications including data centre cooling systems, electric vehicle motors, robotics, consumer electronics, defence, and drone technologies. Operations at the Sartell site are expected to begin in early 2027.
Founded in 2013 through a collaboration between the Department of Energy and the University of Minnesota, Niron Magnetics has developed a process to manufacture high-performance magnets without relying on rare earth materials. The company has since partnered with major players across automotive, industrial, and technology sectors.
Amid growing concerns over supply chain security, company leadership has emphasised the importance of boosting domestic magnet production. This is particularly relevant as China, which holds the largest reserves of rare earth minerals according to the U.S. Geological Survey, has tightened export controls, requiring licenses for the shipment of these critical materials.
