The magnet shortage that would stop American manufacturing before the chip shortage

Semiconductors aren't the only critical component with a single point of failure. America's real supply chain bottleneck sits inside a rare earth magnet that China controls, and domestic factories are scrambling to catch up.

The magnet shortage that would stop American manufacturing before the chip shortage

TL;DR

  • Rare earth magnets represent a critical supply chain bottleneck for the U.S.
  • China currently controls the production of these magnets.
  • This dependency poses a greater threat to American manufacturing than semiconductor shortages.
  • Domestic factories are working to develop their own rare earth magnet production.