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Business Standard
11-07-2025
- Automotive
- Business Standard
AEM brings rare-earth-free EV motors to India; partners with Sterling Gtake
In a push to make electric mobility more sustainable and geopolitically independent, UK-based Advanced Electric Machines (AEM) is entering the Indian electric vehicle (EV) space with its rare-earth- and copper-free electric motor technology. The company has partnered with Sterling Tools Limited's EV arm, Sterling Gtake Electro Mobility (SGEM), to localise production and assembly of its traction motors at SGEM's Faridabad facility. Announced earlier this year, the technology licensing agreement between AEM and SGEM will facilitate the manufacturing of AEM's proprietary High Density Reluctance Motors (HDRM), a new class of traction motors that match the performance of conventional permanent magnet motors but without relying on rare earth elements or copper—two critical materials that are becoming increasingly scarce, expensive, and environmentally problematic. The move comes at a time when about 85 per cent of EVs globally use rare earth magnets like neodymium and dysprosium in their motors, despite rising environmental and supply chain concerns. AEM's HDRM platform eliminates the need for these elements and instead uses aluminium windings—reducing conductor weight by 60 per cent, cutting material costs by up to 90 per cent, and simplifying recycling at end-of-life. The motors also demonstrate higher power-to-weight ratios and improved energy efficiency across drive cycles, potentially increasing EV range by 12–15 per cent in some cases. 'The reliance on rare earths and copper is neither financially nor environmentally sustainable,' said James Widmer, CEO of AEM. 'With HDRM, we are offering a direct, drop-in alternative to IPM motors that requires no compromise on efficiency or performance.' AEM's motors are already in commercial use across Europe and Asia, powering electric buses, trucks, and trains. The company has received validation from global Tier 1 suppliers like SAF-Holland and is now in talks with Indian OEMs across commercial and passenger vehicle segments. HDRM units are compatible with existing 3-phase inverters and have been successfully integrated with platforms from Semikron, Sevcon, and Nidec. Sterling Gtake, AEM's India partner, has already localised components for AEM's first motor platform and aims to expand localisation for additional platforms in the coming quarters. Except for diodes and resolvers, nearly all components can be manufactured domestically, ensuring high domestic value addition (DVA). SGEM's 11-acre campus houses a growing team of over 60 engineers and is equipped with nine dynamometers covering a voltage range of 48V to 1000V and up to 350kW in power. 'India's EV push must also consider long-term material security and environmental impact,' said Jaideep Wadhwa, Managing Director of Sterling Gtake. 'Through this partnership, we're not just assembling motors—we're co-developing a cleaner, more resilient ecosystem for electrification.' HDRM motors are designed to be cost-effective, scalable across vehicle types—from two- and three-wheelers to heavy-duty commercial vehicles—and ready for high-volume production. Future versions of the technology aim to remove copper entirely, replacing it with AEM's patented aluminium conductor coils that offer superior thermal management and recyclability. Backed by a $29 million Series A investment in late 2023 and a portfolio of 38 global patents, AEM is positioning itself as a next-generation powertrain player with a focus on sustainability, circular economy, and supply chain diversification. The company operates from the UK's automotive manufacturing hub and is a spinout from Newcastle University, with deep roots in academic and industrial motor innovation.
Mint
20-05-2025
- Automotive
- Mint
EV industry, government struggle to find alternatives as China throttles rare earth magnet supply
India's electric vehicle industry and the government are struggling to find alternatives to rare earth magnets as China, the near-monopoly supplier, continues to throttle the sale of the key component in the aftermath of its trade war with the US. Magnet-free motors and options to replace the rare earth magnet supply chain are among the solutions that the industry and the government have discussed to ensure that the production of EVs is not disrupted. Officials in the ministry of heavy industries, the nodal ministry for EV incentive schemes, discussed the possibility of nudging manufacturers to diversify their magnet supply chain away from China, according to one person aware of the developments. However, a solution remains elusive because China controls almost the entire global supply of rare earth magnets. Automakers met officials from the Prime Minister's Office, the heavy industries ministry and the commerce ministry over the past month after China started asking for certificates to clear exports of these magnets. The certificates require importing companies to disclose the end-use of the magnets and provide pictures of products in which they will be used. Also Read | The time is right for a reset of India's trade ties with China 'When the issue was raised with the government, there were deliberations on whether the supply chain could be diversified away from China. But that's unlikely to happen quickly," a person aware of the developments said. After US President Donald Trump announced reciprocal tariffs in April, China began its retaliatory measures to halt the export of rare earth magnets. At first, it was believed that only US-based companies would face trouble. But it soon emerged that Indian automakers were also caught in the crossfire. The possibility of using motors without rare earth magnets gained traction after Sterling Tools Ltd, an auto component manufacturer, announced a partnership with the UK-based Advanced Electric Machines (AEM) Ltd to make such components in the country. Magnet-free motors 'With this technology, we want to make similar efficient motors without the use of permanent magnets," said Jaideep Wadhwa, director at Sterling Tools. Wadhwa anticipates that more companies will rush towards this solution as the supply chain remains vulnerable to China. 'Chinese players want us to buy the motors directly from them and not take the magnets," a senior executive of an auto component supplier said. However, experts said this may hurt the localisation bid of the government and auto companies. While the country's auto component makers explore the option of magnet-free motors, many remain unconvinced that it can be a viable long-term solution for all automakers. Replacing rare earth magnets can hurt the performance of vehicles, particularly EVs, which might deter customers. "The main advantages of using permanent magnets in motors are higher efficiency, higher torque density, smaller size and lower mass, better regen and low noise," said Sunil Patel, co-founder of Matel Motion and Energy Solutions, a manufacturer of traction motors for EVs. Also Read | Rare-earths plants are popping up outside China Gaurav Uppal, chief executive officer at One Electric Motorcycles, explained that replacing permanent magnets is easier in three-wheelers and four-wheeler commercial vehicles. "However, the two-wheeler segment is more dependent on the permanent magnets for the ideal combination of torque and efficiency," Uppal said. With no direct alternative available, automakers may have to rely on the government to negotiate with China. 'Rare earth magnets are an important element for automakers, particularly EVs. It is used in electric motors used in cars. Any disruption to its supply will be a problem as we don't have readymade supply from somewhere else," said Nikhil Dhaka, policy lead at Primus Partners. While alternatives such as magnet-free motors may develop, Dhaka added there is a need to resolve the rare earth magnet issue or automakers will have to directly import motors. Clean fuel vehicles 'China has started giving concessions to German automakers. We will need the government's help to resolve the issue," a second person aware of the meetings with government officials said. Any disruption to EV production will hurt the government's bid to promote the use of clean fuel vehicles in the country. Also Read | Maruti, Hero among automakers boosting earnings with exports as domestic demand remains on shaky ground As per JMK Research, sales of electric two-wheelers, three-wheelers and four-wheelers in the country crossed 2 million in FY25. Two-wheelers accounted for more than 50% of EV sales last year and three-wheelers 36%. Sales of petrol and diesel passenger vehicles rose 2% to 4.3 million in FY25, according to the Society of Indian Automobile Manufacturers.
