Cyclic Materials to build rare earth recycling facility in Mesa, Arizona

Rare earth element (REE) and critical metal recycler Cyclic Materials, Toronto, says it plans to invest more than $20 million in its first commercial facility, located in Mesa, Arizona. The company says the new facility will use its proprietary MagCycle process and will be its first global REE recycling operation focused on the separation of permanent magnets from end-of-life products it claims previously were not recovered.

Cyclic says it is establishing a feedstock supply network that will serve the entire United States, adding that it already has secured partnerships in the Southwest—a region of the U.S. with an estimated 155,000 tons per year of end-of-life components from automotive and e-scrap metals—while actively expanding its reach nationwide to develop a more robust and scalable supply chain.

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“We are excited to begin commercial operations in the U.S. in early 2026,” Cyclic co-founder and CEO Ahmad Ghahreman says. “We have chosen the vibrant Southwest for our first U.S. and global site to be close to feedstock that will support our mission to address the global supply-demand imbalance for rare earth materials. By developing circular supply chains, we can reduce dependence on overseas sources and secure a more stable REE supply for the future.”

The company says recruitment for the first hires at the Mesa facility is expected to start in the second quarter of this year and expects to fill more than 30 jobs that will be required to operate it.

“We are proud Cyclic Materials will establish its first U.S. facility right here in Arizona,” Gov. Katie Hobbs says. “This facility will create family-sustaining jobs and support thriving industries, all while advancing Arizona’s clean energy economy.”

Sen. Mark Kelly echoed Hobbs’ comments, saying, “This facility means more good-paying jobs in Mesa and a stronger supply chain that will power everything from electric vehicles to artificial intelligence. Arizona is leading the way on clean energy and innovation, and this investment will make sure we build more of what we need right here.”

Cyclic, established in 2021, raised $57 million in its Series B equity round last year, backed by global firms such as Microsoft, Hitachi Ventures, BMW iVentures, and specialized funds such as ArcTern Ventures and Fifth Wall. The initial raise of $53 million was extended to include investments from InMotion Ventures and Amazon’s Climate Pledge Fund. Cyclic says that, together, these investments position it as a “key partner” for companies seeking sustainable and circular supply chain solutions, particularly in the automotive and data center industries.

Additionally, Cyclic says the move into the U.S. underscores its role in advancing sustainable supply chains as it expands its footprint across North America, with plans to establish operations in Europe.

“Investing in the circular economy is vital for Greater Phoenix to continue its development as a world-class region for companies and people,” says Greater Phoenix Economic Council President and CEO Chris Camacho. “Cyclic Materials complements the strong presence of data centers and EV manufacturers in the region, creating a more sustainable supply chain while strengthening the domestic availability of rare earth elements and other critical resources.”