CoTec Holdings Advances Rare Earth Magnet Recycling Tech

The company is leveraging its stake in HyProMag USA to build a domestic rare earth magnet supply chain.

Updated on Oct. 26, 2026 in Materials Science

Isometric editorial illustration of a heap of metallic magnet fragments in a container, representing industrial rare earth recycling. — CoTec Holdings is scaling its rare earth magnet recycling technology through HyProMag USA to bolster domestic production in the United States. AI Illustration. Upload story photo >

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Should the US prioritize domestic magnet recycling to improve supply chain independence?

CoTec Holdings, a Toronto-based technology developer, is working to expand US rare earth magnet capacity through specialized recycling methods. The initiative aims to create a sustainable domestic supply chain for these critical materials.

Why it matters

By bypassing the traditional rare earth separation bottleneck, this recycling technology provides a viable pathway for domestic production in the United States. Strengthening this supply chain is essential for reducing reliance on external processing capabilities.

The recycling process utilizes proprietary technology to recover magnets, effectively bypassing the rare earth separation bottleneck. CoTec Holdings maintains equity stakes in HyProMag USA, a US-based magnet development company.

The players

CoTec Holdings

This Toronto-based company is a developer of recycling and processing technologies focused on critical materials.

HyProMag USA

This is a US-based magnet development company in which CoTec Holdings maintains an equity interest.

HyProMag Limited

This entity is a UK-Canadian joint venture involved in the development of rare earth magnet recycling technologies.

The details

CoTec Holdings is utilizing its recycling and processing expertise to support a domestic permanent magnet supply chain. The firm operates as a UK-Canadian joint venture partner through its investment in HyProMag Limited and its domestic subsidiary.

October 26, 2026: The analytical update on magnet recycling development was published.

The Big Picture

The push for recycling technology aligns with the broader push to establish a domestic rare earth magnet supply chain. This marks a strategic shift away from total reliance on primary mining and towards circular material recovery models.

Increased domestic capacity for rare earth magnets could eventually lead to more stable pricing and supply for American manufacturers of high-tech and green energy products. These improvements are expected to enhance the resilience of the domestic manufacturing sector over the long term.

The takeaway

Recycling existing rare earth materials presents a significant opportunity to mitigate supply chain risks in advanced manufacturing. Investing in these localized processing technologies is a critical component of maintaining a competitive domestic tech sector.