A “super” magnet factory will be built in Pahang through a collaboration between South Korean company JS Link and Lynas Malaysia. This was announced by Prime Minister Dato’ Seri Anwar Ibrahim last weekend while attending the Asia-Pacific Economic Cooperation (APEC) Economic Leaders’ Meeting in South Korea.
The neodymium-iron-boron rare earth magnet factory will be built by JS Link near the Lynas rare earth processing plant in Kuantan at a cost of RM600 million. Although the MoU between the two companies has only just been signed, JS LIink has already purchased the land where the factory will be built.
Rare earth magnets are an important component in the electric vehicle (EV), electronics, medical and wind turbine industries that generate electricity. Malaysia’s involvement in their production is seen as a step towards creating an alternative source of supply to China.
China currently holds 90% of the rare earth magnet production. This year, when China restricted exports in response to Trump’s Tariffs, it caused supply chains to be disrupted, threatening global production.
