UK company AEM set to bring rare-earth-free technology to India

United Kingdom (UK)-based Advanced Electric Machines (AEM) is entering the Indian electric vehicle (EV) market with its rare-earth and copper-free electric motor technology, in a bid to make electric mobility more sustainable and geopolitically independent. 

 

The firm has partnered with Sterling Tools Limited’s EV arm, Sterling Gtake Electro Mobility (SGEM), to localise production and assembly of its traction motors at SGEM’s Faridabad facility. 

 

The technology licensing agreement between AEM and SGEM, announced earlier this year, will facilitate manufacturing of AEM’s proprietary high density reluctance motors (HDRM), a new class of traction motors that match the performance of conventional permanent magnet motors without relying on rare earth elements or copper — two critical components that are becoming increasingly scarce, expensive, and environmentally problematic. 

 

The move comes at a time when around 85 per cent of EVs globally use rare earth magnets like neodymium and dysprosium in their motors, despite rising environmental and supply chain concerns. The HDRM eliminates the need for these elements, and uses aluminium windings instead. This reduces conductor weight by 60 per cent, cuts material costs by up to 90 per cent, and simplifies recycling at end-of-life. The motors also demonstrate higher power-to-weight ratios and improved energy efficiency across drive cycles, potentially increasing EV range by 12-15 per cent in some cases. 

 

“The reliance on rare earths and copper is neither financially nor environmentally sustainable,” James Widmer, chief executive officer (CEO) of AEM, said. “With HDRM, we are offering a direct, drop-in alternative to IPM motors that requires no compromise on efficiency or performance,” he added.  

 

AEM’s motors are already in commercial use across Europe and Asia, powering electric buses, trucks, and trains. The company has received validation from global Tier-I suppliers like SAF-Holland, and is now in talks with Indian original equipment manufacturers (OEMs) across commercial and passenger vehicle segments. HDRMs are compatible with existing 3-phase inverters and have been successfully integrated with platforms from Semikron, Sevcon, and Nidec.

 

Sterling Gtake has already localised components for AEM’s first motor platform and aims to expand localisation for additional platforms in the coming quarters. Except for diodes and resolvers, nearly all components can be manufactured domestically, ensuring high domestic value addition (DVA). SGEM's 11-acre campus houses a team of over 60 engineers and is equipped with nine dynamometers covering a voltage range of 48V to 1,000V and up to 350kW in power.

 

“India’s EV push must also consider long-term material security and environmental impact,” Jaideep Wadhwa, managing director (MD) of Sterling Gtake, said. “Through this partnership, we’re not just assembling motors — we’re co-developing a cleaner, more resilient ecosystem for electrification.”

 

HDRMs are designed to be cost-effective, scalable across vehicle types, and ready for high-volume production. Future versions of the technology aim to remove copper entirely, replacing it with patented aluminum conductor coils that offer superior thermal management and recyclability.

 

Backed by a $29 million Series A investment in late 2023 and a portfolio of 38 global patents, AEM is positioning itself as a next-generation powertrain player with a focus on sustainability, circular economy, and supply chain diversification.