Japan's First Closed-Loop Recycling Scheme for Rare Earth Magnets from Home Air Conditioners

Mitsubishi Electric Corporation, in collaboration with Shin-Etsu Chemical Co., Ltd. and Eco-Advance Co., Ltd., has launched Japan's first closed-loop recycling scheme to recover and recycle rare earth magnets from discarded home air conditioners for reuse in new products. This scheme contributes to the promotion of a circular economy through the effective use of rare resources. In recent years, there has been a growing need to establish resource circulation mechanisms to recover and reuse rare resources like rare earths, due to limited mining volumes and high environmental impact. In this scheme, Hyper Cycle Systems, a Mitsubishi Electric affiliate, collects and dismantles air conditioners under the Home Appliance Recycling Law. Green Cycle Systems, another affiliate, extracts rotor components from compressors. Eco-Advance then removes the rare earth magnets, and Shin-Etsu Chemical separates and refines the rare earths for recycling. Mitsubishi Electric then reuses these magnets in new air conditioners. By managing this entire flow, the company ensures efficient circulation. The recycled magnets are expected to cover approximately 35% of the rare earths used in Mitsubishi Electric's domestic home air conditioner production. Moving forward, the company aims to expand this scheme to commercial air conditioners and other products.