Hard disk drives (HDDs) present a dual challenge when they reach end-of-life, one that is often accomplished by a single process: shredding. Ideally, drives must both have the data securely destroyed and recyclers must recover the valuable material. Numerous techniques exist to destroy data, but shredding destroys data and starts the recycling process in one efficient step. This, however, means sacrificing the recovery of rare earth elements like the neodymium magnets present in HDDs. So how can recyclers recover these materials without compromising security?

Data destruction remains the foremost priority when handling end-of-life drives. Shredding whole drives is often performed even after sanitization by overwriting or degaussing. Degaussing renders drives inoperable by creating strong, alternating magnetic fields that destroy servo tracks on platters. Shredding is a final assurance that nothing can possibly remain recoverable, but it doesn’t need to come at the cost of sustainability and circularity.

By introducing an automated disassembly step before shredding, recyclers can manually remove the neodymium magnets housed in the hard drive’s actuator assembly. This additional step also allows for preliminary separation and individual processing of aluminum casings, steel covers, and components that do not contain data, creating cleaner material streams. The result is higher-grade outputs with fewer contaminants, simpler processing and improved value. Meanwhile, data-bearing platters and assemblies are still shredded, fully maintaining the integrity and security of the data destruction process.

Magnets

The magnets in HDDs are usually impossible to recover because during shredding they are shattered and blended with scrap. These small but powerful neodymium magnets are used extensively in modern manufacturing, from electric vehicles to wind turbines. Their strength to size ratio make them irreplaceable in clean energy tech and advanced electronics.

They are also strategically significant. China currently produces around 80% of rare earth magnets globally, creating a fragile supply chain that is vulnerable to trade disputes and export restrictions. Coupled with rising demand, this has raised alarms about potential shortages and increased efforts to create a secure domestic supply.

Getting technical

According to a Seagate Life Cycle Analysis report, certain HDDs contain neodymium, magnesium, manganese, nickel, chromium, zinc, aluminum, and copper. All of these have been identified by the Department of Energy as either Critical Materials for energy or Critical Minerals. Neodymium, magnesium, and nickel are likewise considered to be both highly important to energy and at a high supply risk in the short or medium term. Some processes for magnet to magnet recycling also report a reduction in energy consumption of over 45% by eliminating powder production, not to mention eliminating the need for mining raw material.

Primary mining for neodymium is energy-intensive, generates toxic byproducts, and can lead to significant environmental degradation. In contrast, recovering magnets from end-of-life electronics reduces waste and keeps valuable materials in circulation.

While disassembly adds a layer of complexity to the recycling process, it pays off. Cleaner material streams improve the efficiency and value of downstream recycling. As more companies and consumers prioritize sustainability, this approach offers a circular path forward.

The future of electronics recycling lies in smarter processes. CEAR’s innovative methods protect data, preserve resources, and reduce environmental impact to enable a more sustainable future for electronics.