Today marks the official inauguration of Europe’s largest rare-earth magnet factory in Narva, Estonia. This EU funded factory will produce rare-earth permanent magnets to be used in key economic sectors, for example in electric vehicles, wind turbines and microelectronics. As more than 90% of magnets currently imported in the EU come from China, the new factory will greatly increase Europe’s strategic autonomy and competitiveness which are crucial for the clean and industrial transition.
Executive Vice-President for Cohesion and Reforms Raffaele Fitto said: “The inauguration of the magnet factory is a perfect example of how Cohesion Policy can make a real difference for a region and its citizens by creating new jobs and boosting the economy. But not only that: this EU funded project will also contribute to increasing the competitiveness of the whole EU. It shows once again how Cohesion policy is a win-win policy for all Europeans”.
The factory was built thanks to a support of €14.5 million from the Just Transition Fund. It will have a significant positive impact on the economy in Narva and the wider Ida-Viru County by creating up to 1,000 jobs and attracting talent from around the world. It will also greatly enhance Europe’s industrial capacity and strategic autonomy in rare-earth magnets. The factory will increase the resilience of this region and help its transition away from the extraction of oil shale, a fossil fuel-based economic activity on which the region has relied on in the past.