Solvay aims to meet 30% of EU's needs for critical components for EVs, wind turbines (updated)

Solvay SA

31/07/2024 09:08

(Adds details, CEO comment)
       July 31 (Reuters) - Belgian chemicals group Solvay
 SOLB.BR  aims to supply 30% of Europe's needs for permanent
magnets used in electric vehicles and wind turbines from a new
plant in France, the company said on Wednesday.
    The group said regular production at the plant in La
Rochelle should start in early 2025. It is the only facility in
Europe able to process light and heavy rare earth materials at
an industrial level.
    Solvay's announcement comes after the EU's Critical Raw
Materials Act entered into force in May, aiming to secure the
bloc's self sufficiency for vital materials that are currently
dominated by supplies from China. 
    The EU has set targets to mine 10% of its annual needs for
critical materials, to recycle 25% and process 40% domestically
by the end of the decade. 
    It has also said that no more than 65% of rare earth
supplies should be provided by one country. China is currently
estimated to supply around 95% of the EU's rare earth needs. 
    CEO Philippe Kehren said Solvay should benefit from this
drive. 
    The company said it aimed to source 30% of materials for its
La Rochelle plant locally. 

 (Reporting by Leo Marchandon and Alban Kacher, Editing by
Louise Heavens and Mark Potter)
 ((Leo.Marchandon@thomsonreuters.com;
alban.kacher@thomsonreuters.com))