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Rare earths are a group of elements whose availability has been of concern due to monopolistic supply conditions and environmentally unsustainable mining practices. To evaluate the risks of rare earths availability to automakers, a first step is to determine raw material content and value in vehicles. This task is challenging because rare earth elements are used in small quantities, in a large number of components, and by suppliers far upstream in the supply chain. For this work, data on rare earth content reported by vehicle parts suppliers was assessed to estimate the rare earth usage of a typical conventional gasoline engine midsize sedan and a full hybrid sedan. Parts were selected from a large set of reported parts to build a hypothetical typical mid-size sedan. Estimates of rare earth content for vehicles with alternative powertrain and battery technologies were made based on the available parts' data.

In September 1993, the Partnership for a New Generation of Vehicles (PNGV) program, initiated a cooperative research and development (R&D) program between the federal government and the United States Council Automotive Research (USCAR) to develop automotive technologies to reduce the nation's dependence on petroleum and reduce emissions of greenhouse gases by improving fuel economy. A key enabler for the attainment of these goals is a significant reduction in vehicle weight. Thus the major focus of the PNGV materials program is the development of materials and technologies that would result in the reduction of vehicle weight by up to 40%. The Automotive Lightweighting Materials (ALM) Program in the Office of Advanced Automotive Technologies (OAAT) of the Department of Energy (DOE), the PNGV Materials Technical Team and the United States Automotive Materials Partnership (USAMP) collaborate to conduct research and development on these materials.