Vulcan Elements Inc. plans to build a $918.1 million rare earth magnet factory in Benson, North Carolina, expanding its production capacity and adding 1,000 jobs in Johnston County, the company announced Tuesday.

The company currently operates a smaller magnet manufacturing facility in Research Triangle Park. The new 1 million-square-foot site in Benson represents a major scale-up and is expected to become the largest magnet production plant outside China. Rare earth magnets play a critical role in technologies dependent on electric motors and precision motion systems, including but not limited to electronics, robotics, electric vehicles, data centers, and numerous defense applications.

The plant will produce up to 10,000 metric tons of Neodymium Iron Boron magnets each year. This expansion addresses rising demand in advanced manufacturing and strengthens the domestic magnet supply chain.

The state’s Economic Investment Committee approved a Job Development Investment Grant to support the project. Over 12 years, the project is expected to add about $2.6 billion to the state economy. The JDIG allows the company to receive up to $17.58 million if it meets annual job creation and investment targets.

Because Johnston County is a Tier 3 county, the state will allocate up to $5.86 million to the Industrial Development Fund – Utility Account for rural infrastructure. The state may also provide up to $250,000 for road improvements.

The project will create new administrative, engineering, and production jobs, with an estimated annual payroll of $81.9 million. Multiple state and local partners, including the North Carolina Department of Commerce, the Economic Development Partnership of North Carolina, Johnston County, and the Town of Benson, supported the project.

Vulcan Elements recently announced a $1.4 billion partnership with the U.S. Government and ReElement Technologies to expand a fully domestic rare earth magnet supply chain. The agreement includes plans for a U.S.-based 10,000-metric-tonne magnet production facility and expanded recycling and processing of end-of-life magnets and electronic waste.

The expansion will receive federal and private funding, including a $620 million direct loan from the Office of Strategic Capital, $50 million from the Department of Commerce under the CHIPS and Science Act, $550 million in private capital, and an $80 million direct loan to ReElement Technologies. In exchange, the government will receive warrants in both companies and $50 million in equity in Vulcan Elements.

This project builds on a recently completed rare-earth magnet facility in Sumter County, South Carolina, contributing to a broader national effort to expand domestic magnet production.

Project: Vulcan Elements domestic rare earth magnet facility expansion

Location: Benson, Johnston County, North Carolina

Investment: $918.1 million

Jobs Created: 1,000 new positions (administrative, engineering, and production roles)

Facility Size: 1 million square feet

Production Capacity: 10,000 metric tonnes of Neodymium Iron Boron magnets annually

Purpose: Expand domestic rare earth magnet production capacity; support growing demand in electronics, robotics, electric vehicles, data centers, and defense systems

Estimated annual payroll: $81.9 million

Job Development Investment Grant (JDIG) approved for 12 years

Projected state economic growth over 12 years: $2.6 billion

Potential JDIG reimbursement to company: up to $17.58 million

Tier 3 County Adjustment: Up to $5.86 million allocated to the Industrial Development Fund – Utility Account to support rural infrastructure

Additional State Support: Up to $250,000 anticipated for road improvements