Ι What Are Licensed Neodymium Magnets?
Neodymium magnets, compositions and processing technologies have been the subject of controversy ever since their discovery and the key inventive claims that were filed over 40 years ago. Licensed Neodymium magnets are magnets produced under patent agreements with companies holding intellectual property rights related to Neodymium magnet manufacturing. Specifically, Hitachi Metals and a few others have patents covering key processes and material compositions for manufacturing sintered Neodymium magnets. According to claims from Hitachi Metals, manufacturers must acquire a license to legally produce and sell these magnets in certain regions, ensuring compliance with the relevant agreements. As of today, most industry insiders regard licensing as primarily a way to ensure compliance with specific standards for legal reasons, rather than inherently guaranteeing better quality of the magnets.
In the United States and Japan, large corporations that use Neodymium magnets typically source them exclusively from Hitachi-licensed manufacturers, either directly or indirectly. This approach has led to many capable Chinese magnet manufacturers being unable to compete, despite having sufficient capabilities. These manufacturers often express frustration over being excluded from these markets. This is due to the potential legal risks of using unlicensed magnets. Hitachi patented product certificates are a critical issue for these companies, and their legal departments will want to ensure that their Neodymium magnets are sourced from one of the Hitachi-licensed manufacturers to avoid potential lawsuits.
U.S. magnet distributors often emphasize the potential legal risks and quality concerns associated with unlicensed magnets to retain customers and compete against direct sourcing from Chinese manufacturers. By highlighting these risks, they assure customers of safety, legality, and quality, differentiating themselves in a competitive market. However, many unlicensed Chinese manufacturers produce high-quality Neodymium magnets that meet international standards. They often have certifications like ISO9001, ISO14001, and IATF16949, and the assumption that unlicensed products are universally inferior is an overgeneralization. Quality depends on individual manufacturers, not solely on licensing. Conducting supplier audits and setting quality standards helps mitigate quality risks.
At SDM Magnetics, we understand the importance of sourcing Hitachi-licensed Neodymium magnets and offer a Hitachi license certificate for our Neodymium magnets and magnetic assemblies upon request, giving customers peace of mind. Though SDM is not officially listed as a Hitachi-authorized manufacturer, our strong partnerships with licensed manufacturers allow us to provide Hitachi-licensed Neodymium magnets with excellent customer service and responsiveness.
