Radify Metals is developing a new plasma-based metal refining technology that could alter how rare-earth elements are produced, potentially reducing global dependence on China, which currently dominates the sector.
The company’s approach focuses on a critical stage in the supply chain, converting metal oxides into pure metals. This step, often described as the “missing middle,” has historically relied on energy-intensive and polluting methods. Radify’s system instead uses plasma to separate oxygen from metal compounds, producing pure metals with water vapor as the primary byproduct, according to TechCrunch.
Rare-earth elements such as dysprosium and samarium are essential for manufacturing high-performance magnets, electronics, and advanced defense systems. China has built a dominant position in this market over decades, controlling much of the global refining and processing capacity.
Radify’s reactor uses hydrogen heated into a plasma state, into which metal oxide powders are introduced. The high-energy environment strips oxygen from the material, leaving behind purified metal. The system can be adjusted to process different elements by modifying operating conditions, offering flexibility not typically seen in traditional refining infrastructure.
The company says its design enables smaller and potentially more adaptable reactors compared to conventional facilities. This could allow production to scale in a more modular way, reducing upfront costs and enabling manufacturers to respond more quickly to market changes.
Radify is currently testing the technology at its laboratory in California, with plans to produce several kilograms of refined metal per day in the near term. A larger pilot reactor capable of producing up to 100 kilograms per day is under development, supported by early-stage funding from multiple investors.
If the technology scales successfully, it could narrow the cost gap between non-Chinese and Chinese rare-earth production. The company estimates that its process could initially produce materials at prices moderately above Chinese levels, with the potential to reach parity as production expands.
Beyond rare-earth elements, the plasma system may also be applicable to other metals, including titanium, zirconium, and hafnium, which are widely used in aerospace, electronics, and industrial applications. However, further improvements would be needed for the technology to compete with established methods in high-volume metals such as iron and aluminum.
The development reflects broader efforts to diversify supply chains for critical materials, as governments and industries seek to reduce reliance on concentrated sources of production. Advances in refining technologies like plasma processing could play a role in reshaping how these materials are manufactured and distributed globally.