Lyon Company Carester to Construct Major Rare Earth Recycling Plant
Lyon, March 9, 2026 – Carester, a Lyon-based company specializing in rare earth refining, has announced plans for a new 200-million-euro facility in Lacq, Pyrénées-Atlantiques. The plant will focus on recycling permanent magnets, a critical component in the production of electric vehicles and other high-tech applications. This initiative underscores a significant move towards industrial sovereignty and sustainable resource management.
Strategic Investment in Rare Earth Recycling
The project, valued at nearly 200 million euros, is a strategic investment in the rare earth market. Permanent magnets, known for their powerful magnetic properties, are used in 90% of relevant applications, including electric vehicle motors. The new Caremag factory is projected to produce 600 tonnes of mineral concentrate annually, accounting for 15% to 20% of the global market.
Carester, founded in 2019 by five experts in rare earth refining, currently employs 47 people, with plans to expand to 92 employees in the coming months. The company’s expansion into recycling addresses the growing demand for these crucial metals while reducing reliance on new mining operations.
Importance for Electric Vehicles and Industrial Sovereignty
The recycling of rare earth elements is vital for the future of the electric vehicle industry. As the world transitions to more sustainable transportation, the demand for these materials is skyrocketing. By establishing a domestic recycling facility, France aims to strengthen its industrial sovereignty and reduce its dependence on foreign sources for these critical resources.
The plant will have the capacity to produce 2,000 tonnes of permanent magnets per year, significantly contributing to the supply chain for electric vehicle manufacturers. This local production capability will help stabilize prices and ensure a more secure and environmentally responsible supply of these essential materials.
Environmental and Economic Impact
Beyond its economic benefits, the Carester project has significant environmental implications. Recycling rare earths is a more sustainable alternative to traditional mining, which can be environmentally destructive. By recovering these valuable materials from existing products, the new plant will help conserve natural resources and reduce waste.
The investment also signifies a boost for the local economy in Lacq, creating jobs and fostering technological innovation in the region. This development positions France as a leader in rare earth recycling, contributing to a circular economy model for critical raw materials.
The company’s commitment to sustainability and industrial independence aligns with broader European initiatives to secure critical raw materials and promote green technologies. This plant is expected to be a cornerstone in Europe’s efforts to build a resilient and sustainable industrial base.
