Once the raw materials are sourced, they undergo a series of processes to prepare them for magnet fabrication. In the case of rare earth magnets, the first step usually involves mining the rare earth ores and refining them to extract the desired elements. These purified elements are then combined with iron and other additives to create a compound with magnetic potential. The mixture is melted at extremely high temperatures in a vacuum induction furnace to prevent contamination and then rapidly cooled to form an alloy ingot. This alloy is then broken down into fine powder using hydrogen decrepitation or jet milling techniques.

The powdered material is the foundation of the magnet. It is pressed into a desired shape using either an axial or isostatic pressing process. During this step, the powder can be magnetically aligned to optimize its performance. The particles are exposed to a powerful external magnetic field while being pressed, which causes them to orient in the same direction. This step is critical because the orientation of magnetic domains determines the final strength and efficiency of the magnet. For sintered magnets, the pressed shapes, often referred to as "green compacts," are then sintered at high temperatures in a vacuum or inert gas atmosphere. Sintering fuses the particles together, increasing the magnet’s density and strength.

After sintering, the magnets are very hard and brittle, and they usually need to be machined to achieve the required dimensions and tolerances. This machining is done with diamond-coated tools or wire electrical discharge machining (EDM), since conventional cutting tools cannot effectively handle the hardness and brittleness of sintered magnets. Machining must be done carefully to avoid cracking or chipping, which can compromise the magnet’s performance. In some cases, manufacturers use injection molding or compression bonding techniques instead of sintering. These  Lift Magnets methods are suitable for producing magnets with complex shapes or lower strength requirements. Bonded magnets are created by mixing magnetic powder with a binding agent like plastic or resin and then forming it into shape through molding. Although bonded magnets are generally weaker than sintered magnets, they are more versatile and easier to produce in large quantities.

The next crucial step is magnetization. Contrary to popular belief, magnets are not automatically magnetic after sintering or molding. They must be exposed to a strong magnetic field that aligns their domains permanently. This magnetizing field is typically provided by a powerful pulse magnetizer, which sends a brief but intense electrical pulse through a coil surrounding the magnet. The strength of this pulse is usually several Tesla, sufficient to align the magnetic moments in the material. The process of magnetization depends on the magnet’s intended application. Some magnets are isotropic, meaning they can be magnetized in any direction, while others are anisotropic and must be magnetized along a specific axis. In some cases, complex multi-pole magnetization patterns are used, particularly in motors and sensors, where precise control of the magnetic field is essential.