Magnet Applications is proud to announce a three-year stocking agreement with Ametek UK, a major producer of electric motors and fans for the aerospace industry. This strategic partnership ensures a reliable supply of Samarium Cobalt (SmCo) magnets to support next-generation electric propulsion systems.
In a landscape where geopolitical uncertainty and sourcing challenges are increasingly disruptive, this agreement represents a bold, forward-looking solution.
Financial Strength as a Strategic Enabler
Unlike many in the industry, Magnet Applications leverages a strong cash position to support long-term stocking commitments like this one. This capability is a key differentiator, enabling us to:
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Hold dedicated inventory on behalf of customers
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Reduce their exposure to volatile lead times
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Offer more stable and predictable pricing over time
It’s a proactive approach that aligns with how leading OEMs like Ametek UK plan for production security and scale.
Building on the MagVault Model
This agreement builds on the successful framework developed in our MagVault project, where consolidating demand into multi-year programs brought significant operational and financial gains.
For Ametek UK, the benefits include:
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One export license every three years, reducing administrative burden
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£70 saved per purchase order via long-term consolidated buying
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£300 saved per batch by requiring just one First Article Inspection (FAIR) over the contract term
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Volume-based discounts for added cost efficiency
Resilience for the Long Haul
By securing a three-year supply of Samarium Cobalt magnets, Ametek UK can confidently navigate global uncertainties and maintain uninterrupted production schedules. With guaranteed stock in place, their teams avoid the scramble of short-term sourcing, while our team ensures timely replenishment and quality consistency.
A Contract Shaped by Conversation
Finalizing this agreement required more than a few emails. It took regular, face-to-face engagement and a deep understanding of Ametek’s operational needs. By repeatedly asking:
“What’s most important to you about the terms of this contract?”
…we were able to co-develop a structure that works for both sides. The result: a stable unit price that holds for 12 months at a time, with an annual pricing review every November based on agreed benchmarks. While this review process takes effort, it builds trust and transparency year over year.
Engineering Partnerships, Not Just Parts
At Magnet Applications, this kind of consultative engineering isn’t the exception—it’s the standard. We don’t just deliver magnets; we build resilient supply ecosystems tailored to each customer’s priorities.
From aerospace to energy, our customers know we bring:
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Deep application knowledge
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Financial stability
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Global logistics expertise
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A true commitment to long-term success
If your program demands a smarter magnet sourcing strategy, let’s talk.
