Honda Backs Canadian Startup Enedim in Bid to Develop Rare-Earth-Free EV Motors

A Canadian startup born out of McMaster University in Ontario has drawn global attention after securing an investment from Honda.

October 27, 2025 at 1:55 PM / Technology

A Canadian tech company spun out of McMaster University in Ontario has stepped into the spotlight thanks to a new investment from Honda. The Japanese automaker acquired a stake through its global innovation arm, Honda Xcelerator Ventures, betting on the potential of Enedim’s breakthrough motor technology.

Enedim’s key achievement is a next-generation SRM electric motor that doesn’t rely on permanent magnets or rare-earth metals. The approach could significantly cut production costs and reduce the environmental footprint of EV manufacturing. Mining and processing rare-earth materials has long been criticized by environmental groups, and Enedim believes it has found a cleaner way forward. The company’s SRM design—protected by more than 70 patents developed under Dr. Ali Emadi—uses a unique architecture paired with advanced control software. The result is a quiet, highly efficient motor that delivers performance levels previously thought out of reach for this type of system.

For Honda, which aims to reach full carbon neutrality by 2050, the technology represents a chance to make its future EVs even greener. Manabu Ozawa, Executive Director at Honda, called Enedim’s SRM a true breakthrough that eliminates rare-earth materials without sacrificing capability. The startup plans to use the fresh capital to speed up commercialization and scale its operations, while Honda is looking to bring the innovation to upcoming models as it pushes toward a cleaner transportation future.

You may also be interested in the news:

Stellantis, Nvidia, and Uber Gear Up for a Global Leap: Robotaxis Set to Hit the Streets
Nissan dropped the GT-R engine under the hood of the Infiniti QX80 SUV
Unbelievably, it really works: a life hack on how to close all car windows without the ignition on
Most Americans Have No Idea: How to Choose the Right Jack Without Damaging Your Car
A Very Strange Abarth: Limited-Edition Crossover from Stellantis and Netflix
Queen Elizabeth II’s Personal Range Rover Heads to Auction
Scientific Breakthrough: Researchers Create an Everlasting Battery for Electric Vehicles
The Traverse: A Grand Tiny Home on Wheels That Feels Anything But Small