Belgium-based Solvay is planning to supply to Europe rare earth metals needed for manufacturing permanent magnets used in electric vehicles (EVs) and wind turbines, reported Reuters.

The move comes as Europe looks to lower its dependence on imports from Chinese companies.

Solvay's refurbished plant in La Rochelle, France, is set to start production in early 2025. This facility is expected to fulfil 30% of Europe's demand for permanent magnets by 2030.

The La Rochelle facility will be equipped to process both light and heavy rare earth materials at an industrial scale.

Solvay CEO Philippe Kehren was cited by the news agency as saying the company supports Europe’s shift to permanent magnet production instead of importing from China.

"The goal is to supply all of Europe with rare earth metals made in La Rochelle," Kehren said.

Solvay is also in talks with European main car and turbine manufacturers to secure support from the full value chain.

Kehren said the company is also in advanced negotiations with the French Government for support.

Solvay’s La Rochelle plant is expected to source 30% of the materials locally by recycling end-of-life rare earth metals from motors within Europe.

Last year, Solvay and Canadian cleantech start-up Cyclic Materials signed a memorandum of understanding to produce and supply recycled mixed rare earth oxides (rMREO) to Solvay’s plant in La Rochelle.

Cyclic Materials will send the rMREO from its site in Ontario, Canada, to Solvay’s plant.