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20 February 2026

Rare earths: what they are and what they are used for

We explain how rare earths are transforming energy, innovation, and sustainability on our planet.

tierras raras

Rare earths are present in mobile phones, electric vehicles, highly efficient wind turbines, telecommunications systems, satellites, and industrial and defence applications. Their role is fundamental in the energy transition.

But what are rare earths and why are they so important?

What are rare earths and why are they called that?

Rare earths are a set of 17 chemical elements that are relatively unknown but widely used at an industrial level. Most of them belong to the lanthanide group on the periodic table, although scandium and yttrium are also included.

Despite their name, they are not rare in nature at all: they are found within the Earth’s crust.

What makes them ‘rare’ is the difficulty of extracting and separating them, as they are usually mixed with other minerals, requiring complex and expensive processes to isolate them.

 

A discovery that changed the industry

Although rare earths have been known for many years, they have gained significant importance recently. Can you guess why?

  • Late 18th century (1787): A mineral containing rare earths is identified for the first time in Ytterby (Sweden).
  • Early 19th century: Elements such as cerium and lanthanum are isolated, expanding knowledge about these materials.
  • Late 19th century: New elements like neodymium, essential for manufacturing powerful magnets, are discovered.
  • 20th century (1960s–80s): Electronic miniaturisation drives the demand for rare earths due to their energy efficiency and magnetic properties.
  • 21st century: They are consolidated as strategic raw materials for mobile phones, electric vehicles, renewable energies, and advanced technology.

How rare earths work: the science behind their power

The value of rare earths lies in their atomic structure. Their electron configuration produces powerful magnetic fields, specific optical effects, and high electrical conductivity.

In other words, they make it possible for technology to be lighter, faster, and more efficient.

tierras raras

Real-world examples of rare earth usage

Wind turbines

The permanent magnets that turn wind turbines are composed of neodymium and dysprosium. Thanks to these, wind turbines can generate more energy with less wind and without excessive mechanical wear.

Electric vehicles

Electric motors use magnets made with neodymium and praseodymium, which increase power without adding weight to the vehicle. This improves range and reduces energy consumption.

Screens and LEDs

The bright, precise colours on mobile phone, television, or tablet screens are due to rare earths like terbium, europium, and yttrium, which are responsible for emitting green, red, and blue tones with maximum purity.

Furthermore, modern LEDs use these elements to offer longer-lasting and more efficient lighting.

Where they are found and who produces them  

Rare earths are present on almost every continent, but their industrial exploitation is not evenly distributed.

In terms of extraction, China accounts for around 60% of global production, followed by the United States and Australia. In Africa, countries like Burundi and Madagascar are beginning to gain ground as emerging producers.

However, the real bottleneck is not in mining, but in refining.

According to the IEA, China controls more than 90% of global rare earth refining capacity. This means that, although other countries extract these minerals, most of them are sent to China to be processed.

Because of this, the world relies heavily on China to manufacture key technologies like electric cars, mobile phones, and solar panels, making rare earths a geostrategic resource comparable to oil in the 20th century.

The situation in Europe

The European Union is driving initiatives to diversify supply, reopen mines, and boost recycling. The goal? To guarantee access to critical materials without depending on third countries.

And in Spain? A plan has been launched to better manage our minerals, such as rare earths, with a 360° approach: identifying resources, recycling more, and restoring spaces damaged by mining.

The plan creates the first National Mining Exploration Programme since democracy, which will search for minerals in over 1,000 tailings ponds and old mining areas across the country.

Additionally, it will invest €400 million in restoring soil and improving biodiversity, committing to responsible, modern, and sustainable mining aligned with European Union objectives, according to the Ministry for the Ecological Transition and the Demographic Challenge.

Applications and uses: from green energy to everyday life

Rare earths are present in many of the technological objects we use daily, even if they go completely unnoticed.

 

In the energy transition

Some key technologies in the energy transition rely on rare earths. Wind turbines and electric vehicles use neodymium or praseodymium magnets to operate more efficiently.

These magnets maintain their power even at high temperatures, making them perfect for demanding industrial environments.

Without them, the energy cost of generating electricity or moving an electric car would be higher.

 

In everyday life

Everyday examples are countless:

  • Europium gives screens their red colour.
  • Terbium generates the green hue.
  • Cerium is used in catalytic converters that eliminate pollutants from cars.
  • Lanthanum improves sharpness in cameras and telescopes.
  • Gadolinium is used in MRI equipment.

These elements are invisible to the human eye, but they make technology function with precision and efficiency.

tierras raras

Environmental impact and sustainability

Although rare earths are crucial for clean energy, their extraction is not always clean. Conventional mining generates toxic and radioactive waste, as well as water pollution. The challenge lies in balancing technological growth with a sustainable production model.

Responsible mining and recycling

The industry is moving towards less polluting processes based on ecological separation technologies and closed-loop recycling systems.

Recycling reduces the pressure on ecosystems, improves economic independence, and decreases the carbon footprint.

Responsible mining and recycling

The industry is moving towards less polluting processes based on ecological separation technologies and closed-loop recycling systems.

Recycling reduces the pressure on ecosystems, improves economic independence, and decreases the carbon footprint.

Responsible mining and recycling

The industry is moving towards less polluting processes based on ecological separation technologies and closed-loop recycling systems.

Recycling reduces the pressure on ecosystems, improves economic independence, and decreases the carbon footprint.

The global environmental challenge

The great challenge is to implement a global circular mining model, where technological products are designed from the outset to be recycled.

Companies that manage to integrate this approach will position themselves at the forefront of sustainable innovation and the green economy.

The global environmental challenge

The great challenge is to implement a global circular mining model, where technological products are designed from the outset to be recycled.

Companies that manage to integrate this approach will position themselves at the forefront of sustainable innovation and the green economy.

The global environmental challenge

The great challenge is to implement a global circular mining model, where technological products are designed from the outset to be recycled.

Companies that manage to integrate this approach will position themselves at the forefront of sustainable innovation and the green economy.

The future of rare earths: innovation, balance, and autonomy

According to McKinsey & Company, the demand for rare earths – the metals used in magnets for electric cars, wind turbines, and mobile phones – will triple by 2035.

The problem is that China controls over 60% of extraction and over 80% of refining, meaning the rest of the world could face supply shortages.

To avoid this, recycling will be key. Recovering rare earths from old devices, electric vehicles, and wind turbines can help create a more sustainable source and reduce external dependency, although cheap and effective technologies to do this on a large scale are still lacking.

The future rests on three fundamental pillars:

1. Technological innovation

Improving extraction and recycling processes to minimise environmental impact.

1. Technological innovation

Improving extraction and recycling processes to minimise environmental impact.

1. Technological innovation

Improving extraction and recycling processes to minimise environmental impact.

2. Geopolitical balance

Diversifying the global supply chain to avoid critical dependencies.

2. Geopolitical balance

Diversifying the global supply chain to avoid critical dependencies.

2. Geopolitical balance

Diversifying the global supply chain to avoid critical dependencies.

3. Industrial autonomy

Promoting local production in regions such as Europe and Latin America.

3. Industrial autonomy

Promoting local production in regions such as Europe and Latin America.

3. Industrial autonomy

Promoting local production in regions such as Europe and Latin America.

The development of alternative materials and the partial substitution of rare earths in certain applications are promising lines of research, though they are still far from being viable on a large scale.

Frequently asked questions about rare earths (Q&A)

Rare earths are 17 chemical elements that are difficult to extract and stand out for their magnetic and electronic properties. They are essential for manufacturing powerful magnets, batteries, and technological devices.

Because when they were discovered, they were found in uncommon minerals and were difficult to isolate, even though their abundance in the Earth’s crust is high.

Yes, they work and currently have no equivalent substitutes. Their combination of magnetic and optical properties is unique.

The world’s largest producer is China, followed by the United States, Australia, and several African countries. Europe is seeking to reduce its dependency through responsible mining and recycling.

Yes, although the process is complex and expensive. New urban recycling technologies allow a significant portion of rare earths to be recovered from discarded devices.

They will be fundamental. Without them, there would be no efficient electric motors, advanced wind energy, or smart batteries. They are the invisible foundation of modern sustainability.

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