Largest Non-Chinese Rare-Earth Plant in Ohio to Supply U.S. Defense Magnets
REAlloys will build the largest heavy rare-earth metallization plant outside China in Ohio, converting NdPr, dysprosium and terbium oxides into magnet-grade alloys for U.S. defense. The project addresses a 2027 U.S. ban on Chinese rare-earth magnets and secures L3Harris Technologies’ supply for Patriot missiles, radar systems and other military platforms.
1. Facility Announcement and Capacity
REAlloys has announced a fully financed buildout of the largest heavy rare-earth metallization facility outside China, located in Euclid, Ohio. The plant will process neodymium-praseodymium, dysprosium and terbium oxides into finished magnet-grade alloys using high-temperature reduction and refining techniques.
2. Impact of 2027 U.S. Magnet Ban
Beginning in 2027, U.S. procurement rules will bar defense systems from using magnets sourced from Chinese supply chains, creating immediate demand for domestic metallization capacity. This regulation compels manufacturers and the Defense Logistics Agency to secure alternative rare-earth feedstocks within an allied supply chain.
3. Implications for L3Harris Technologies
L3Harris Technologies depends on high-performance permanent magnets for Patriot missiles, advanced radar systems and other defense platforms. The Ohio facility is poised to mitigate supply risks posed by Chinese concentration, ensuring material availability aligns with critical procurement schedules.