Indian Startup Develops Rare-Earth-Free Electric Motor for EVs

Jul 16, 2026

75 min

Jul 16, 2026 08:30

Indian startup patents rare-earth-free electric motor for EVs, challenging China’s supply chain dominance

## Innovative Electric Motor Design

Bengaluru-based Vimag Labs has patented a new electric motor design that eliminates the need for rare-earth permanent magnets, a significant component in traditional electric vehicle (EV) motors. This innovation, known as the Virtual Magnet Synchronous Motor (VMSM), uses power electronics and control algorithms to generate magnetic fields in real-time, replacing the conventional magnets.

## Impact on Supply Chains

The development could disrupt the current EV supply chain, which heavily relies on rare-earth materials predominantly controlled by China. By removing the need for these materials, Vimag Labs' technology could reduce costs and enhance supply chain resilience.

## Strategic Partnerships and Future Plans

Vimag Labs, operating under the Volektra brand, has partnered with Jendamark India Pvt. Ltd. to industrialize and deploy production lines for this new motor technology. The startup, founded in 2025, has raised $5 million in funding and is conducting pilot tests with various vehicle manufacturers, with plans for limited production later this year.

## Broader Industry Trends

The move aligns with a broader industry trend towards "software-defined" vehicles, where performance tuning is managed through software updates rather than hardware changes. This approach could lead to faster development cycles and lower costs, particularly benefiting price-sensitive markets like India.

## Global Efforts to Reduce Rare-Earth Dependence

Globally, several automakers and tech developers are working on reducing reliance on rare-earth elements in EV motors. Companies like BMW, Tesla, and Renault are exploring alternative motor designs, while startups like Vimag Labs are leading the charge with innovative solutions.

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