The Future of Permanent-Magnet-Based Electric Motors: How Will Rare Earths Affect Electrification? This review discusses the relationship between permanent magnets and electric motors, which has not been previously covered in a review paper. With increasing focus on battery research, other parts of the electric system have been neglected. To make electrification a smooth transition, we need to understand and improve the electric motor and its main component, the magnet. Current review papers focus on either the engineering perspective of the electric motor or the material-science perspective of the magnetic material, but not both together, which is crucial for understanding the needs of electric-motor design and the possibilities that a magnet can give them. We review the road that leads to today's state-of-the-art in electric motors and magnet design and give possible future roads to tackle the obstacles ahead and reach the goals of a fully electric transportation system. With new technologies now available, like additive manufacturing and artificial intelligence, electric motor designers have not yet exploited the possibilities the new freedom of design brings. New out-of-the-box designs will have to emerge to realize the full potential of the new technology. We also focus on the rare-earth crisis and how future price fluctuations can be avoided. Recycling plays a huge role in this, and developing a self-sustained circular economy will be critical, but the road to it is still very steep, as ongoing projects show. The world is shifting to combustion-free transport. New research shows that in 2021, an estimated 6.5 million electric vehicles (EVs) will be sold worldwide. Half of this number has been sold in China alone, making it the world's largest electric vehicle (EV) market in less than a decade. Europe is heading in the same direction, selling over 2.3 million EVs in 2021, which represents 19% of total car sales in 2021. To achieve its target of net-zero greenhouse-gas emissions by 2050, a lot more EVs have to "hit the roads". This raises the question of the raw materials needed for such an attempt. Most public and scientific interest has been focused on how we will store the energy that is produced by renewable sources and how we will be able to harvest that stored energy. Batteries will probably be the main energy-storage option, although hydrogen could be a viable and possibly even better option. In either case, the efficiency of electric motors that act as converters of energy into mechanical motion will be one of the most important considerations. All the early inventors used permanent magnets in their previously called electrical rotating machines. However, the early motors were very different from the motors of today. The first electrical motor using permanent magnets was constructed by Michael Faraday in 1821. He adopted ideas that were previously presented by Hans Christian Oersted and William Wollaston. Faraday's device was very simplistic and did not look like anThe Future of Permanent-Magnet-Based Electric Motors: How Will Rare Earths Affect Electrification? This review discusses the relationship between permanent magnets and electric motors, which has not been previously covered in a review paper. With increasing focus on battery research, other parts of the electric system have been neglected. To make electrification a smooth transition, we need to understand and improve the electric motor and its main component, the magnet. Current review papers focus on either the engineering perspective of the electric motor or the material-science perspective of the magnetic material, but not both together, which is crucial for understanding the needs of electric-motor design and the possibilities that a magnet can give them. We review the road that leads to today's state-of-the-art in electric motors and magnet design and give possible future roads to tackle the obstacles ahead and reach the goals of a fully electric transportation system. With new technologies now available, like additive manufacturing and artificial intelligence, electric motor designers have not yet exploited the possibilities the new freedom of design brings. New out-of-the-box designs will have to emerge to realize the full potential of the new technology. We also focus on the rare-earth crisis and how future price fluctuations can be avoided. Recycling plays a huge role in this, and developing a self-sustained circular economy will be critical, but the road to it is still very steep, as ongoing projects show. The world is shifting to combustion-free transport. New research shows that in 2021, an estimated 6.5 million electric vehicles (EVs) will be sold worldwide. Half of this number has been sold in China alone, making it the world's largest electric vehicle (EV) market in less than a decade. Europe is heading in the same direction, selling over 2.3 million EVs in 2021, which represents 19% of total car sales in 2021. To achieve its target of net-zero greenhouse-gas emissions by 2050, a lot more EVs have to "hit the roads". This raises the question of the raw materials needed for such an attempt. Most public and scientific interest has been focused on how we will store the energy that is produced by renewable sources and how we will be able to harvest that stored energy. Batteries will probably be the main energy-storage option, although hydrogen could be a viable and possibly even better option. In either case, the efficiency of electric motors that act as converters of energy into mechanical motion will be one of the most important considerations. All the early inventors used permanent magnets in their previously called electrical rotating machines. However, the early motors were very different from the motors of today. The first electrical motor using permanent magnets was constructed by Michael Faraday in 1821. He adopted ideas that were previously presented by Hans Christian Oersted and William Wollaston. Faraday's device was very simplistic and did not look like an