On the road to an electric future

HANAU – VAC announced today a binding long-term supply agreement with GM for North America permanent magnet production – another major step forward to create a strong, sustainable and scalable supply chain for electric vehicles. As a part of the agreement, VAC will build a facility in North America to manufacture permanent magnets for the electric motors used in a broad portfolio of EVs, including the Chevrolet Silverado EV, Blazer EV and Equinox EV, the Cadillac LYRIQ, the GMC Sierra EV, and the GMC HUMMER EV SUV and Pickup. The new facility will use locally sourced raw materials. The binding agreement finalizes a Memorandum of Understanding (MoU) VAC and GM announced in December 2021.

With 100 years of experience, VAC is a leading global developer and producer of advanced magnetic solutions. Additionally, VAC is the largest producer of rare-earth NdFeB permanent magnets in the Western Hemisphere.

“The demand for rare earth permanent magnets and supporting technologies is intensifying at an unprecedented rate as the world shifts to sustainable clean energy. VAC is extremely excited to be partnering with General Motors to take this important step to ensure the realization of GM’s all-electric future”, said Dr. Alexander Barcza, VAC Vice President Permanent Magnets.

VAC is in the process of establishing a North American rare-earth permanent magnet production facility to support GM for a minimum period of 10 years. The finished magnets will be delivered to facilities building EV motors for GM within North America.  The VAC facility is expected to start production in 2025 and create hundreds of new jobs.

“Our agreement with VAC for permanent magnet production in North America represents another major milestone in building a strong, secure, sustainable and cost-competitive supply chain to support our EV growth”,
said Jeff Morrison, GM Vice President, Global Purchasing and Supply Chain.

“GM’s leadership in recognizing the need to develop a resilient North American supply chain creates additional resources to ensure all regions of the world will have sufficient access to core elements and technology to pivot to a cleaner global future. We are thrilled to be a part of it”, said Scott Pelhank, VAC Vice President Sales.

VACUUMSCHMELZE (VAC) is a leading global producer of advanced magnetic solutions, rare earth permanent magnets, and inductive components. With extensive application know how and 100 years of experience in material science and product development, VAC designs and manufactures mission critical solutions for a wide variety of industries, including renewable energy, e-mobility, automotive, industrial automation, medical, aerospace and defense. VAC’s unique ability to develop and manufacture from base elements through final products enables us to provide customers optimal form factors and performance, generating best in class efficient solutions in an environmentally conscious manner. More information at www.vacuumschmelze.com

General Motors (GM) is a global company focused on advancing an all-electric future that is inclusive and accessible to all. At the heart of this strategy is the Ultium battery platform, which will power everything from mass-market to high-performance vehicles. General Motors, its subsidiaries and its joint venture entities sell vehicles under the Chevrolet, Buick, GMC, Cadillac, Baojun and Wuling brands. More information on the company and its subsidiaries, including OnStar, a global leader in vehicle safety and security services, can be found at www.gm.com

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