Toyota & REEs.

Has Toyota come up with a way to make electric vehicles without using any rare earth elements? According to an article in Japan’s Kyodo News, supposedly they have and they hope to be using the new technology in about two years.  Of course, this sort of story has regularly made the rounds, but if true it will be very big news in the REE sector. But then again, will the new technology really match the perfomance of REE EVs?  And even if it does, if Toyota switches, the price of REEs might be cheaper for everyone else, averting the need to switch and re-tool. Of course, it might just be Toyota talkimg up their book to put pressure on China. Still with Lynas just  enetring the junk bond market for financing,  "news" like this is very unsettling.

Below, the news about Toyota. I couldn’t find the article on Kyodo’s English language site.

Toyota finds alternative to rare earth metals for hybrids: report
By Tim Beissmann | January 24th, 2012
Toyota has reportedly developed a way to produce its hybrid and electric vehicles without using scarce and expensive rare earth metals.

Japan’s Kyodo News reports Toyota – the world’s largest manufacturer of hybrid vehicles – could have the technology ready for full-scale production within two years.

Toyota is understandably keeping it cards close to its chest, and has not revealed anything about its future powertrain technology. A Toyota spokesperson told Reuters the company is continuing its research into rare earth metal substitutes but at this stage has no timeline on when new components could hit the market.

Two of the metals – neodymium and dysprosium – are commonly used in the magnets of electric motors and are increasingly sought after as the demand for hybrids and EVs grows around the world.

China currently produces more than 95 per cent of the world’s rare earth metals and has recently revealed its intention to limit exports, fearing depletion of its natural resources. China’s hesitancy has forced hybrid manufacturers like Toyota into overdrive to find alternatives to rare materials. Japan currently accounts for approximately one third of the world’s rare earth metal consumption.
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