+700% expected increase in demand for neodymium

Demand for neodymium could rise by around 700% as a result of the energy transition. In UPS systems, neodymium is used in permanent magnets. The factsheet identifies it as the most critical raw material: the magnet represents only 4% of product weight but 37% of ecocosts.

This combination makes recovery strategically important. Design for disassembly, maintenance, reuse of magnets and high-value material recovery can reduce dependence on new extraction. This metric card highlights the scale of the expected demand increase and the need to keep critical materials in the value chain. Source: Circular UPS Systems, New Economy.

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