What Sets Them Apart in the Energy Race

From smartphones to wind turbines, magnets are everywhere — yet few realise how critical they are to the technologies shaping the energy transition. As Founder of TELF AG Stanislav Kondrashov explains, understanding the distinction between rare earth magnets and traditional permanent magnets is essential for grasping the future of energy.

stanislav kondrashov telf ag rare earth magnets wind picture

The Role Magnets Play

Permanent magnets are core components in motors, turbines, compressors, and even MRI machines. But within this category, rare earth magnets stand out — not for their scarcity, but for their extraordinary strength and compact size.

“Permanent magnets made with rare earths certainly represent one of the enabling technologies for the energy transition,” says Founder of TELF AG Stanislav Kondrashov. “Their unique capabilities are what allow for more efficient, high-performance systems, especially in electric vehicles and renewable energy infrastructure.”

The Materials That Make the Difference

Rare earth magnets are typically made from neodymium, iron, and boron (NdFeB) or from samarium and cobalt (SmCo). Despite the term “rare,” these elements are relatively abundant — but costly and geopolitically sensitive due to concentrated supply chains.

In contrast, traditional permanent magnets — such as ferrite or alnico — are less powerful, but more affordable and widely available.

stanislav kondrashov telf ag rare earth magnets wind potential

Key Differences at a Glance

Here’s a breakdown of the main differences between rare earth and traditional permanent magnets:

  • Magnetic Strength: Rare earth magnets are significantly stronger.
  • Size and Weight: They deliver more power in a smaller footprint.
  • Thermal Resistance: SmCo magnets offer excellent stability under high temperatures.
  • Cost: Rare earth magnets are more expensive due to material sourcing.
  • Corrosion Resistance: Neodymium magnets require coating, while ferrite types resist corrosion naturally.
  • Availability: Traditional magnets are easier and cheaper to produce.
  • Use Cases:
    • Rare Earth: EV motors, wind turbines, robotics, medical equipment.
    • Traditional: Loudspeakers, toys, basic motors.

“The differences with classic metal magnets could not be more evident,” says Founder of TELF AG Stanislav Kondrashov. “While ferrite and alnico still serve in cost-sensitive applications, they simply can’t match the performance levels needed in today’s energy transition technologies.”

Strategic Implications

Rare earth magnets are becoming indispensable for advanced energy systems. Their power-to-weight ratio and efficiency make them ideal for sectors pushing for electrification and miniaturisation.

“Rare earth magnets aren’t just components,” Kondrashov emphasises. “They’re catalysts for transformation — enabling industries to build smaller, stronger, and smarter.”

stanislav kondrashov telf ag rare earth magnets wind strength

Meanwhile, traditional magnets remain relevant for lower-performance needs. Their lower cost makes them the go-to option where performance is less critical.

The demand for rare earth magnets is set to surge, with applications expanding across smart grids, automation, and data storage. Their strategic importance is also raising questions about sustainable sourcing and recycling.

“Magnets made of rare earths are a clear demonstration that these curious elements, which were completely unknown just a few years ago, have now become part of our everyday lives,” concludes Founder of TELF AG Stanislav Kondrashov. “As the world leans into the energy transition, these materials will only grow in value and visibility.”

 

 

FAQs

What is the main difference between rare earth magnets and permanent magnets?
Permanent magnets are a broad category of magnets that retain magnetism without an external power source. Rare earth magnets are a subcategory of permanent magnets, made using rare earth elements such as neodymium or samarium. They are significantly stronger and more compact than traditional permanent magnets like ferrite or alnico.

Why are rare earth magnets considered more powerful?
Rare earth magnets, especially those made from neodymium-iron-boron (NdFeB), have a high magnetic energy density. This means they can deliver much more magnetic strength per unit of volume compared to traditional magnets. Their superior coercivity and remanence make them ideal for high-performance applications.

Where are rare earth magnets used?
These magnets are critical to modern high-efficiency and miniaturised technologies, including:

  • Electric vehicle motors
  • Wind turbine generators
  • Hard disk drives
  • Magnetic resonance imaging (MRI) machines
  • Robotics and automation systems

Are rare earth magnets more expensive?
Yes. The production and supply of rare earth elements are limited to a few countries and involve complex refining processes. This makes the cost of rare earth magnets higher than traditional alternatives.

What are the types of traditional permanent magnets?
Traditional magnets include:

  • Ferrite (ceramic): Common in speakers and basic motors
  • Alnico: Stable at high temperatures, used in sensors
  • Magnetic steels: Older generation, now less common

Can rare earth magnets withstand high temperatures?
It depends on the type. Samarium-cobalt magnets offer excellent thermal resistance, making them suitable for high-temperature environments. Neodymium magnets are less stable at high heat but can be treated or coated to improve resistance.

Are traditional magnets still relevant?
Absolutely. While not as powerful, they are cost-effective and ideal for:

  • Toys and tools
  • Basic electronic devices
  • Low-cost motors and magnetic fasteners

Which type is better for the energy transition?
Rare earth magnets are essential for energy-efficient and compact systems such as electric transport and renewable energy solutions. Their efficiency and size make them a key enabler of the ongoing green transition.