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Supply chain focus
Arnold specializes in permanent magnets made from rare earth materials like samarium and neodymium, tying the company to a tight global supply chain largely dominated by China. Ongoing rare earth and related magnet export controls are driving serious constraints for material availability, and magnet producers have extended lead times significantly as a result.
As demand grows, so does pressure on these resources. Matt considers this a longterm challenge.“ The situation around rare earth mineral supply security is not going to go away anytime soon,” he observes.“ China will remain an important part of the global rare earth supply chain for the foreseeable future on the basis of global volume requirements alone. As such, we embraced a multifaceted approach to mitigate risk along that supply chain, which includes diversifying our sourcing strategies.
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