ULVAC, a Japanese manufacturer of specialised vacuum melting furnaces, is establishing a new production system in Japan.
The move comes as the company anticipates a threefold increase in annual orders for the furnaces due to the rising demand from magnet manufacturers in Europe and North America.
Rare-earth magnets are critical components for several modern industries, including electric vehicle manufacturing, wind energy, data centres, and aerospace.
China has been the primary hub for this supply chain, but many companies in Western markets are increasingly moving production closer to end markets to ensure a more stable supply – a need driven by decarbonisation and the proliferation of AI.
The continuous vacuum melting furnace, which will be produced in the new Japanese site, manages the initial melting and casting of materials – the starting point of magnet material production.
By adding a Japanese manufacturing site to its existing operations in China, ULVAC said it aims to create a dual-site supply structure that offers customers more geographic options and security.
ULVAC has long manufactured rare-earth magnet vacuum melting furnaces through its Chinese subsidiary. According to the company, the factory will stay in operation to provide a steady supply of equipment to its customers in China.
The company said it plans to reinforce its supply of manufacturing equipment for rare-earth magnets. This is to meet the needs of customers, who are now seeking full support to get their entire mass-production lines up and running instead of simply purchasing individual pieces of machinery.
At the same time, the company is broadening its services to include the complete optimisation of production setups. By doing so, ULVAC intends to transform into a specialised engineering firm that handles the entire magnet production process. This shift focuses on providing integrated technical expertise to ensure that manufacturing lines operate as efficiently as possible.
