This review article focuses on the relationship between permanent magnets and electric motors, a topic that has not been previously covered in a comprehensive review. The authors highlight the importance of understanding and improving electric motors and their main component, the magnet, to facilitate a smooth transition to electrification. They discuss the current state of electric motor design and magnet technology, emphasizing the need for new designs and technologies to address challenges such as rare earth material dependence, temperature sensitivity, demagnetization risk, and cost. The article also explores the rare earth crisis and the potential of recycling to mitigate its impact. Additionally, it reviews the history of permanent magnets, the development of Nd-Fe-B magnets, and the search for alternatives to rare earth elements. The authors discuss recycling methods, including the HPMS process, and the potential of non-REE-based permanent magnets. Finally, they examine the advantages and disadvantages of different types of electric motors, such as BLDC and PMSM motors, and the role of soft magnetic materials in improving motor performance. The article concludes by emphasizing the need for innovative technologies and a circular economy to support the widespread adoption of electric motors.This review article focuses on the relationship between permanent magnets and electric motors, a topic that has not been previously covered in a comprehensive review. The authors highlight the importance of understanding and improving electric motors and their main component, the magnet, to facilitate a smooth transition to electrification. They discuss the current state of electric motor design and magnet technology, emphasizing the need for new designs and technologies to address challenges such as rare earth material dependence, temperature sensitivity, demagnetization risk, and cost. The article also explores the rare earth crisis and the potential of recycling to mitigate its impact. Additionally, it reviews the history of permanent magnets, the development of Nd-Fe-B magnets, and the search for alternatives to rare earth elements. The authors discuss recycling methods, including the HPMS process, and the potential of non-REE-based permanent magnets. Finally, they examine the advantages and disadvantages of different types of electric motors, such as BLDC and PMSM motors, and the role of soft magnetic materials in improving motor performance. The article concludes by emphasizing the need for innovative technologies and a circular economy to support the widespread adoption of electric motors.