YASA Secures UK Funding For Rare-Earth-Free Axial Flux Motor Development

The Project Resilience programme will develop two axial flux motor technologies aimed at reducing reliance on rare-earth materials in future electric and hybrid vehicles.

11 Aug 2026 | 1117 Views | By Eshisha Java

YASA has secured UK Government grant funding to develop rare-earth-free and heavy-rare-earth-free axial flux electric motor technologies for future electric and hybrid vehicles.

The programme, named Project Resilience, will investigate two technology pathways designed to reduce dependence on rare-earth magnet materials while meeting the differing performance, packaging, cost and manufacturing requirements of future vehicle applications.

Two Rare-Earth-Free Motor Technology Pathways

For high-performance battery-electric and hybrid vehicles, YASA will develop heavy-rare-earth-free permanent-magnet motor designs intended to retain high power density without increasing motor weight or package size.

The company will also develop fully rare-earth-free axial flux motor technology for applications with different performance and cost requirements.

Why YASA Is Cutting Rare-Earth Magnet Dependence

Both development routes will use common YASA stator technology, allowing the company to develop a modular motor architecture with different rotor technologies selected according to individual vehicle programmes.

Inside the UK's DRIVE35 Funding Programme

YASA said the programme is intended to address risks associated with the geographically concentrated supply chains for rare-earth permanent magnets, including geopolitical uncertainty, export restrictions, price volatility and potential supply disruptions.

The company will carry out Project Resilience at its engineering and development facilities in the UK. The programme is funded through the UK Government's DRIVE35 Demonstrate competition, delivered by the Department for Business, Innovation, Science and Trade in partnership with the Advanced Propulsion Centre UK and Innovate UK.

Tom Hillman, Head of Motor Simulation at YASA, said: “Different applications require different balances of performance, efficiency, packaging, cost and production volume, which is why we are developing two complementary technology routes rather than pursuing a single universal solution.”

The project forms part of the wider DRIVE35 programme, which supports research, scale-up and transformation of zero-emission vehicle technologies in the UK. The programme has £4 billion in grant funding available through 2035 for automotive R&D, scale-up and transformation.

YASA's Ownership Under Mercedes-Benz

YASA, which has been a wholly owned subsidiary of Mercedes-Benz Group since 2021, develops axial flux electric motors and power electronics for automotive applications.

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