Branch² Intelligence

Modal Motors is trying to cut China out of electric motors entirely

US · 2026-09-23

Key takeaway

Modal Motors develops electric motors without rare-earth magnets, aiming to eliminate reliance on Chinese supply chains.

  1. Step 1 · The triggerModal Motors develops electric motors that do not require rare-earth magnets, reducing dependence on Chinese-sourced components.
  2. Step 2 · Knock-onUS electric motor manufacturers and downstream SMEs face lower supply-chain risk and reduced supplier bargaining power from China, improving input cost stability.
  3. Step 3 · Reaches youUS SMEs using electric motors gain more predictable supply and pricing, supporting margin stability and operational planning.

The trigger is reported by the source below. The steps that follow are Branch²’s traced reasoning — how the shock could reach a business like yours, not a prediction.

Source: TechCrunch

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This is automated analysis for information only. It is not investment advice, not a recommendation, and not a solicitation to buy or sell any security. Branch² is not authorised or regulated. Do your own research.