Cyclic Materials Launches Arizona Rare Earths Plant
Toronto-based Cyclic Materials has activated its first U.S. site in Mesa, Arizona, establishing a 25,000-metric-ton annual capacity for magnet recycling to bolster domestic supply chains.
Cyclic Materials has commenced commercial operations at its new 144,000-square-foot facility in Mesa, Arizona, marking the company’s entry into the North American market. The Toronto-based recycler invested $20 million in the site, which is designed to process up to 25,000 metric tons of recycled scrap annually. This expansion follows a $75 million funding round closed last month, signaling a strategic shift toward securing domestic sources for critical minerals essential to defense and technology sectors.
The Mesa plant utilizes proprietary MagCycle technology to mechanically separate rare earth magnets from steel waste. The recovered material, designated as Mag-Xtract, is routed to chemical facilities for refining into rare earth oxides. Over 7,000 metric tons of feedstock have already been delivered to the site, with initial commercial shipments scheduled for later this month. The project has generated more than 30 local jobs, supporting the region’s growing manufacturing ecosystem in automotive and semiconductor industries.
Processing Capacity and Technology
The facility represents Cyclic Materials’ largest rare earth magnet recycling operation by annual processing capacity. The automated separation system targets discarded electronics, robotics, and medical devices, recovering high-value magnetic materials that were previously sent to foreign refineries. By localizing this stage of the supply chain, the company aims to reduce lead times for manufacturers who rely on these foundational materials for AI, energy, and defense applications.
Strategic Location and Feedstock
Mesa was selected for its proximity to a dense cluster of automotive, semiconductor, and data center manufacturers. This geographic advantage facilitates efficient logistics for moving feedstocks and recovered materials. Cyclic Materials estimates that the Southwest region contains approximately 155,000 tons of accessible regional feedstock, providing a stable input stream for the plant. The site’s access to transportation links and local talent further supports the operational efficiency required for high-volume processing.
Future Expansion in South Carolina
The Arizona facility is the first of two U.S. sites currently under development. A second plant in McBee, South Carolina, is under construction with over $82 million invested to date. This location will combine magnet recovery with rare earth refining on a single site. Completion is targeted for 2028, and the project is expected to create 90 additional jobs. This dual-site strategy positions Cyclic Materials to serve both the western and eastern manufacturing hubs, reinforcing the U.S. domestic supply chain.
