Toyota has a problem. The automaker, a leader in hybrid cars, is heavily reliant on neodymium (above, being mined), a rare earth metal that is used in magnets. All electric cars rely on magnets in their motors. These rare earths are mined almost exclusively in China (China makes 95% of the world's neodymium), making Toyota highly reliant on a supply chain that is vulnerable to import quotas, export tariffs (up 67% last year), political upheaval, and outright bans. The price for these metals has soared recently as China orders more production to stay within China. Toyota is forced to explore a new type of motor that doesn't rely on these metals.
Toyota Tries to Break Reliance on China - WSJ.com
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