
YASA, the pioneering developer of axial flux electric motor technology and since 2021 a subsidiary of Mercedes-Benz, has secured UK Government grant funding to design and develop a new generation of fully rare-earth-free and heavy-rare-earth-free axial flux electric motors. As part of the program, YASA will lead Project Resilience in investigating two complementary technology pathways designed to reduce reliance on rare-earth magnet materials while preserving the power density, efficiency and compact packaging required by future electrified vehicles.
While heavy rare earths are commonly used to help permanent magnets withstand the high temperatures and demanding operating conditions experienced within powerful electric motors, they can be difficult and carbon-intensive to extract and process. At its core, Project Resilience will develop two complementary technology pathways designed to give vehicle manufacturers greater flexibility in selecting the most appropriate electric motor architecture for different applications.
- For high-performance battery-electric and hybrid vehicles, YASA will investigate heavy-rare-earth-free permanent-magnet motor designs intended to maintain high levels of power density without increasing motor mass or package size.
- In parallel, the company will also develop fully rare-earth-free axial flux technology for vehicle applications with different performance, cost and manufacturing requirements.
The two development routes will be built around common YASA stator technology, creating the potential for a modular electric motor architecture in which different rotor technologies can be selected according to the specific requirements of each vehicle program. The approach will enable YASA to broaden the range of applications addressed by its axial flux technology while sharing engineering, design, development and manufacturing knowledge across both pathways.
“Rare-earth materials have played an important role in the development of powerful and compact electric motors, but the automotive industry must now prepare for a future in which availability, environmental impact and security of supply are increasingly important considerations,” explains Tom Hillman, Head of Motor Simulation for YASA.

“Project Resilience is about creating credible alternatives without losing sight of what vehicle manufacturers need from an electric motor. 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,” he noted.
Part of Advanced Propulsion Centre’s DRIVE35 program — and including iNetic
The funding is part of the UK’s DRIVE35 program. Delivered by the Department for Business, Innovation, Science and Trade in partnership with the Advanced Propulsion Centre UK and Innovate UK, it is part of the UK Government’s Advanced Manufacturing Sector Plan, which outlines its commitment to a zero-emission future, with an unprecedented £4 billion of grant funding available to 2035 for automotive R&D, scale-up and transformation.
Another developer in the program is Andover-based motor engineering company iNetic, which has developed an innovative magnet-minimum motor-gearbox, called the M3-Pack, for high-efficiency compact electric propulsion. It integrates a ferrite magnet rotor to reduce the amount of rare-earth materials.

Commenting about DRIVE35 as a platform to support businesses to move promising technologies to commercial deployment and manufacturing at scale, Ian Constance, Chief Executive at the Advanced Propulsion Centre UK, said: “This investment is about far more than individual projects. It is about strengthening the UK’s capability to design, develop and build the technologies that will define the vehicles of the future. By bringing together industry, government and academia, DRIVE35 is helping create the conditions for long-term growth, increasing investor confidence and reinforcing the UK’s position as one of the world’s leading destinations for automotive innovation.”
