Rare earth elements (REEs) are crucial for several technologies, such as permanent magnet motors used in electric vehicles (EVs). However, supply of REEs has been unstable in recent years. With no viable substitutes available for those elements, a circular strategy is key to minimizing supply chain vulnerabilities for these technologies without increasing the risk of other critical materials. In this study, we assess the recycling potential of eight REEs, including yttrium (Y), cerium (Ce), lanthanum (La), gadolinium (Ga), dysprosium (Dy), terbium (Tb), praseodymium (Pr) and neodymium (Nd), from Europe waste of permanent magnet, catalytic convert and NiMH batteries. A system dynamics modelling is used to assess the circularity of those materials by recycling waste using hydrometallurgical technology. The results show the REEs that can be recovered from waste will approximately double between 2020 and 2030, while end of life magnets and spent NiMH batteries being the most significant contributors. These findings provide insights for strategic decision-makers to incorporate the circularity of rare earths from waste as an additional source for the raw material supply network of EV manufacturing, thereby contributing to the creation of sustainable mobility systems.