Traction Motors and Magnets

PMSM · induction · EESM · cores

A traction motor is mostly copper and steel built near the vehicle line. The few kilograms of magnet inside it carry the supply risk.

Cross-section of a permanent magnet traction motor with its four material groups: NdFeB magnets embedded in the rotor, about 90% made in China with dysprosium and terbium about 99% separated in China; copper hairpin windings in the stator slots, wound near the vehicle plant; a stack of thin non-grain-oriented electrical steel from mills such as Baowu, POSCO and JFE; and the shaft, bearings and resolver from SKF, Schaeffler, NSK and Tamagawa. INSIDE A PERMANENT MAGNET TRACTION MOTOR NdFeB magnets China ~90%; Dy and Tb ~99% Copper hairpin windings wound near the vehicle plant Electrical steel stack thin NGO: Baowu, POSCO, JFE Shaft, bearings, resolver SKF, Schaeffler, NSK, Tamagawa
Dominant type
PMSM
Magnet-free options
Induction, EESM
Core steel
Thin NGO
NdFeB per motor
~1-2 kg
Hub
Supply Chain

Finding

Most EVs use permanent magnet motors because nothing else matches their efficiency, so automakers are reducing heavy rare earths rather than leaving NdFeB

Permanent magnet synchronous motors (PMSM) power nearly every BYD, Hyundai, VW MEB and Tesla rear axle because they are the most efficient across a real driving cycle. Induction motors (Tesla front axles) and wound-rotor motors (BMW Gen5 and Neue Klasse, Renault, Nissan Ariya) use no magnets and give up some efficiency or add rotor excitation. Axial flux motors from YASA, owned by Mercedes-Benz, are entering production in AMG models.

The electrical steel core matters as much as the magnet for efficiency. Traction motors use thin non-grain-oriented (NGO) silicon steel, 0.20 to 0.30 mm thick, to cut high-frequency losses. Grain-oriented steel (GOES) is a transformer material and is not used in rotating motors. Chinese mills (Baowu, Shougang) lead NGO volume, followed by POSCO, Nippon Steel, JFE, voestalpine and Cleveland-Cliffs, the only US producer.

Tesla, BYD, GM, Hyundai, BMW and Volkswagen design and build their own motors; Tesla builds drive units at Giga Texas. Most other automakers buy motors or complete e-axles from Tier 1s, and the supplier base is consolidating: Vitesco merged into Schaeffler in 2024, Dauch (formerly American Axle) took over GKN Automotive in early 2026, and ZF and Nidec have both cut back their e-drive businesses. Chinese suppliers - Huawei DriveONE, Inovance, UAES and FinDreams - now win business from automakers outside their own groups.

The tables below track 45 traction motor programs and suppliers, 12 of them headquartered in China and 28 of them suppliers that sell to other automakers.

Types

Five Motor Types, Three Without Magnets

Permanent magnet motors lead on efficiency; induction, wound-rotor and reluctance motors avoid rare earths.

Traction motor types
Motor typeExamplesAdvantageConstraint
Permanent magnet synchronous (PMSM)BYD, Hyundai E-GMP, VW MEB, Tesla rear motorsHighest efficiency and power densityNdFeB with Dy or Tb; China supply risk
Induction (IM)Tesla Model 3 and Model Y front motors; Audi e-tron (first generation)No magnets; robust; free-spinning when unpoweredLower part-load efficiency; heavier
Wound-rotor synchronous (EESM)BMW Gen5 and Neue Klasse, Renault Megane E-Tech, Nissan AriyaNo magnets; field can be weakened at speedRotor excitation via brushes or wireless exciter
Axial flux PMYASA (Mercedes-AMG); Renault with WhylotHighest torque density, short and flatManufacturing scale-up; still uses magnets
Switched reluctance (SRM)Industrial drives; no volume EVNo magnets; simple rotorTorque ripple, noise, complex control
Magnet and core materials
PartMaterialAdvantageConstraint
MagnetSintered NdFeB with Dy or TbHighest energy densityChina makes ~90%; export licenses
MagnetFerriteCheap, no rare earthsAbout a third of NdFeB strength; larger motor
MagnetIron nitride, other rare earth freeNo rare earthsPilot scale (Niron)
CoreThin NGO electrical steel, 0.20-0.30 mmLow loss at high frequencyThin-gauge capacity limited
CoreAmorphous and nanocrystalline alloysVery low core lossBrittle, hard to stamp; not in volume traction motors

Automakers

Automakers That Build Their Own Motors

Tesla, BYD, GM, Hyundai, BMW, Volkswagen and the leading Chinese EV makers design their motors in-house; some also sell drive units to other brands. Chinese companies are listed first within each status.

Automaker in-house traction motor programs
AutomakerHQProductsTechnologyPlantsKey customersStatus
BYD (FinDreams Powertrain)China3-in-1, 8-in-1 and 12-in-1 e-axles; 1,000 V Super e-Platform motor (2025)PMSM, SiC, 800-1,000 VChinaBYD, Denza, Fangchengbao, Yangwang; Toyota bZ3 (BYD Toyota EV Technology)active
Geely (VREMT)ChinaE-drive units from Viridi E-Mobility TechnologyPMSM, SiC, 800 VChinaGeely, Zeekr, Lynk & Coactive
LeapmotorChinaIn-house electric drive unitsPMSMChina (Jinhua)Leapmotor; Leapmotor International (Stellantis)active
NIO (XPT)ChinaXPT induction front and PMSM rear drive unitsPMSM, induction, SiC, 900 VChina (Nanjing)NIO, ONVO, fireflyactive
XiaomiChinaHyperEngine V8s motor (in-house); V6 and V6sPMSM, up to 27,200 rpmChina (Beijing)Xiaomi SU7, YU7active
BMW GroupGermanyGen5 eDrive; Gen6 eDrive for Neue KlasseEESM (no magnets)Germany (Dingolfing), Austria (Steyr), China (Shenyang)BMW, MINIactive
FordUSElectric motors and transaxlesPMSMUS (Van Dyke Electric Powertrain Center, Sterling Heights, Michigan)Fordactive
General MotorsUSUltium Drive units (front, rear and dual-motor)PMSMUSChevrolet, Cadillac, GMC, Honda Prologue, Acura ZDXactive
Hyundai Motor GroupSouth KoreaE-GMP and eM platform motorsPMSM, 800 VSouth KoreaHyundai, Kia, Genesisactive
LucidUSLucid drive units for Air and GravityPMSM, 900 VUS (Casa Grande, Arizona)Lucid; Aston Martin (2023 supply agreement)active
Mercedes-BenzGermanyeATS 2.0 drive units (CLA, MMA platform); AMG axial flux motors from YASAPMSM, axial flux, 800 V SiCGermany (Untertuerkheim, Berlin-Marienfelde)Mercedes-Benz, Mercedes-AMGactive
NissanJapanAriya wound-rotor motorEESM (no magnets)JapanNissanactive
Renault Group (Ampere)FranceE7A wound-rotor motor (Megane E-Tech, Scenic E-Tech)EESM (no magnets)France (Cleon)Renaultactive
RivianUSEnduro drive units (in-house since Gen 2)PMSMUS (Normal, Illinois)Rivianactive
Stellantis (Emotors)FranceeM motors for e-CMP and STLA platformsPMSMFrance (Tremery)Peugeot, Opel, Citroen, Fiat, Jeepactive
TeslaUSDrive units: induction front motors, permanent magnet synchronous reluctance rear motors; carbon-sleeved rotor (Model S and X Plaid)PMSM, inductionUS (Fremont, Giga Nevada, Giga Texas), China (Shanghai), Germany (Berlin)Teslaactive
Volkswagen GroupGermanyAPP550 and APP310 motors for MEB; PPE motors with AudiPMSMGermany (Kassel), ChinaVolkswagen, Audi, Skoda, Cupra; Ford Explorer and Capri (MEB)active

Motor suppliers

Traction Motor and E-Axle Suppliers

Tier 1 suppliers and specialists that sell motors or complete e-axles to automakers. Active companies first, then acquired and merged businesses kept for their history; Chinese suppliers first within each status.

Traction motor and e-axle suppliers
SupplierTypeHQProductsTechnologyPlantsKey customersStatus
CRRC Times ElectricTier 1ChinaElectric drive systems for passenger and commercial vehiclesPMSM, SiCChina (Zhuzhou)active
Huawei Digital Power (DriveONE)Tier 1ChinaAll-in-one electric drive (motor, reducer, inverter, DC-DC, OBC)PMSM, SiC, 800 VChinaSeres (AITO), Chery (Luxeed), JAC (Maextro), BAIC (Stelato)active
Inovance (Suzhou Inovance Automotive)Tier 1ChinaElectric drive assemblies and motorsPMSM, 800 VChina (Suzhou)Li Auto, Xiaomi (V6), GAC Aion, Cheryactive
Jing-Jin Electric (JJE)Tier 1ChinaTraction motors and e-axles for passenger and commercial vehiclesPMSMChina (Beijing)active
UAES (United Automotive Electronic Systems)Tier 1ChinaE-axles and traction motorsPMSMChina (Shanghai)Xiaomi (V6), SAICactive
Zhejiang Founder MotorTier 1ChinaTraction motorsPMSMChina (Lishui)active
Zhongshan Broad-Ocean Motor (Shanghai Edrive)Tier 1ChinaTraction motors and drive systemsPMSMChina (Zhongshan, Shanghai)active
Advanced Electric Machines (AEM)specialistUKHDSRM switched reluctance motorsSwitched reluctance (no magnets)UK (Washington, Tyne and Wear)Commercial vehicle pilotsactive
AisinTier 1JapaneAxlePMSMJapan, ChinaToyota, Lexusactive
BluE NexusTier 1JapaneAxlePMSMJapanToyotaactive
BorgWarnerTier 1USiDM integrated drive modules; HVH hairpin motorsPMSM, SiC (Viper), 800 VUS, Mexico, Hungary, Poland, China (Tianjin, Wuhan)active
BoschTier 1GermanyeAxle and eMotor families; 800 V SiC invertersPMSM, SiC, 800 VGermany (Hildesheim), Hungary (Miskolc), China, Mexicoactive
Dana (TM4)Tier 1USSUMO motors; Spicer Electrified e-axles for trucks and busesPMSMCanada (Boucherville, Quebec), US, Italy, ChinaCommercial vehicle OEMsactive
Dauch Corporation (formerly American Axle)Tier 1US3-in-1 electric drive units; owns GKN AutomotivePMSMUS, Mexico, ChinaJaguar Land Roveractive
ElaphespecialistSloveniaIn-wheel motorsOuter-rotor PMSMSlovenia (Ljubljana)active
EquipmakespecialistUKSpoke-rotor motors, inverters and bus repower drivesPMSMUK (Snetterton, Norfolk)active
Hitachi AstemoTier 1JapanTraction motors, inverters and e-axlesPMSMJapan, China, USHondaactive
LG Magna e-PowertrainTier 1South KoreaTraction motors, inverters and onboard chargersPMSMSouth Korea (Incheon), China (Nanjing), Mexico (Ramos Arizpe), Hungary (Miskolc)GMactive
MagnaTier 1CanadaEtelligentDrive e-drives (eDS)PMSM, EESMAustria, Germany, Chinaactive
MahleTier 1GermanyTraction motors; SCT magnet-free motor with contactless rotor excitationPMSM, EESMSlovenia, Chinaactive
NidecTier 1JapanE-Axle Ni100Kr, Ni150Kr and Ni200KrPMSMChina (Pinghu, Zhejiang; Guangzhou joint venture with GAC), Serbia (Novi Sad), MexicoGAC Aionactive
Schaeffler (incl. Vitesco Technologies)Tier 1Germany3-in-1 and 4-in-1 e-axles; EMR3 and EMR4 drives from VitescoPMSM, 800 VGermany, Hungary, Czechia, China (Tianjin, Taicang)Hyundai and Kia (EMR3)active
Valeo (Valeo eAutomotive)Tier 1France800 V e-axles; rare-earth-free EESMPMSM, EESMGermany (Bad Neustadt, Erlangen), Hungary (Mezokovesd), China (Changshu, Tianjin)Renault (rare-earth-free EESM program)active
ZFTier 1GermanyEVSys800 e-drives; I2SM wound-rotor motor with inductive exciterPMSM, EESM, SiC, 800 VGermany (Schweinfurt), Serbia (Pancevo), Chinaactive
Avid TechnologyspecialistUKMotors and drive systems for commercial and off-highway vehiclesPMSM, axial fluxUK (Cramlington)acquired (Acquired by Turntide Technologies (2021))
GKN AutomotiveTier 1UKeDrive systems; eTwinster torque-vectoring unitsPMSM, 800 VUK, Germany, China, Japanacquired (Parent Dowlais acquired by Dauch Corporation (formerly American Axle), completed early 2026)
YASAspecialistUKAxial flux motorsAxial flux PMUK (Yarnton, Oxfordshire), Germany (Berlin-Marienfelde)Mercedes-AMG (AMG.EA platform)acquired (Owned by Mercedes-Benz since 2021)
Vitesco TechnologiesTier 1GermanyEMR3 and EMR4 electric drivesPMSMGermany, Hungary, Chinamerged (Merged into Schaeffler in October 2024)

Cores and magnets

Motor Core and Magnet Suppliers

Lamination stampers that build stator and rotor stacks from thin electrical steel, and the NdFeB and rare-earth-free magnet plants that supply rotor magnets. Capacity, customers and process detail for each magnet plant are on Magnet Manufacturing for Motors.

EV motor core (lamination stack) suppliers
SupplierHQProductsProcessPlantsKey customers
Jiangsu Tongda Power TechnologyChinaMotor cores and laminationsStampedChina (Nantong)
Ningbo Zhenyu TechnologyChinaMotor core laminations; battery structural partsStampedChina (Ningbo)
Euro GroupItalyStator and rotor lamination stacksStamped, interlockedItaly, Mexico, China
Kienle + SpiessGermanyStamped and bonded lamination stacks for rotors and statorsStamped, bondedGermany (Sachsenheim), Hungary
Mitsui High-tecJapanHigh-speed stamped motor coresStamped, interlockedJapan (Kitakyushu), Mexico, Canada, ChinaToyota
POSCO InternationalSouth KoreaTraction motor coresStampedSouth Korea (Pohang), Mexico, Poland, China, IndiaHyundai Motor Group
Tempel (Worthington Steel)USMotor and transformer laminations; traction motor coresStamped, bondedUS, Mexico, Canada, China, India
voestalpineAustriacompacore bonded lamination stacksBonded (backlack)Austria, China
EV motor magnet manufacturers
Magnet makerPlantLocationProductStatus
Baotou Tianhe MagneticsBaotou plantBaotou, Chinasintered NdFeBoperating
Earth-Panda Advanced Magnetic MaterialLu'an and Baotou plantsLu'an, Baotou, Chinasintered NdFeBoperating
Innuovo Technology (Hengdian Group)Magnet plantsDongyang, Baotou, Chinasintered NdFeBoperating
JL Mag Rare-EarthAll basesGanzhou, Baotou, Ningbo, Chinasintered NdFeBoperating
Ningbo YunshengNingbo and Baotou plantsNingbo, Baotou, Chinasintered NdFeBoperating
Yantai Zhenghai MagneticYantai and Baotou plantsYantai, Baotou, Chinasintered NdFeBoperating
Zhong Ke San HuanMultiple plantsBeijing, Ningbo, Tianjin, Chinasintered NdFeBoperating
Fujian Golden Dragon Rare-Earth (Xiamen Tungsten)Magnetic material projectLongyan, Chinasintered NdFeBannounced
Daido ElectronicsMagnet plantNakatsugawa, Gifu, Japanhot-deformed NdFeBoperating
Heraeus RemloyBitterfeld-Wolfen plantBitterfeld-Wolfen, Germanyrecycled sintered NdFeBoperating
Noveon MagneticsSan Marcos plantSan Marcos, Texas, USrecycled sintered NdFeBoperating
Proterial (formerly Hitachi Metals)Magnet plantsKumagaya, Saitama, Japansintered NdFeBoperating
Shin-Etsu ChemicalShin-Etsu Magnetic Materials VietnamHai Phong, Vietnamsintered NdFeBoperating
Shin-Etsu ChemicalTakefu plantEchizen, Fukui, Japansintered NdFeBoperating
Star Group IndustrialMagnet plantDaegu, South Koreasintered NdFeBoperating
TDKMagnet plantsAkita, Japansintered NdFeBoperating
Vacuumschmelze (VAC)Hanau plantHanau, Germanysintered NdFeBoperating
e-VAC Magnetics (VAC)Sumter plantSumter, South Carolina, USsintered NdFeBramping
MP MaterialsIndependenceFort Worth, Texas, USsintered NdFeBramping
Neo Performance MaterialsNarva magnet plantNarva, Estoniasintered NdFeBramping
HyProMagTyseley plantBirmingham, UKrecycled sintered NdFeBcommissioning
USA Rare EarthStillwater plantStillwater, Oklahoma, USsintered NdFeBcommissioning
MP Materials10X campusNorthlake, Texas, USsintered NdFeBunder construction
Niron MagneticsSartell plantSartell, Minnesota, USiron nitrideunder construction
Vulcan ElementsMagnet plantBenson, North Carolina, USsintered NdFeBannounced

Risks

Where Motor Supply Breaks

Magnets are the acute risk; thin electrical steel is the slower one.

Traction motor supply risks
RiskImpactMitigation
Rare earth concentrationChina refines ~84% of magnet rare earths and makes ~90% of magnets; licenses since April 2025MP, Lynas, VAC, Neo capacity; heavy rare earth reduction; recycling (Noveon)
Electrical steelThin NGO capacity concentrated in China, Japan and KoreaCleveland-Cliffs and new NGO lines; long-term mill contracts
Copper and winding automationHairpin welding and insulation set yieldIn-house winding; automation suppliers
Design lock-inMagnet grade is qualified to each motor; switching takes yearsDual-qualified grades; EESM and induction alternatives

Sources

Sources and scope

Scope
Traction Motors and Magnets
Sources
Automaker and supplier disclosures; IEA; ElectronsX motor and magnet datasets
Updated
October 2026