India Advances Plans For Domestic Rare Earth Magnet Production

(MENAFN- KNN India) New Delhi, May 30 (KNN) In response to China's tightening grip on rare earth magnet supplies, the Indian Ministry of Heavy Industries (MHI) has scheduled a stakeholder meeting on June 3 to finalise a scheme promoting domestic manufacturing of these critical components.

Rare earth magnets, essential in electric vehicles, wind turbines, and electronics, are predominantly sourced from China, posing supply chain vulnerabilities for India.

The proposed initiative includes financial incentives for companies entering the rare earth magnet sector, public-private partnerships to establish processing and production units, and collaborations with alternative international sources to reduce dependency on Chinese imports.

This move aligns with India's broader strategy to secure its critical mineral supply chains and bolster its manufacturing capabilities.

The urgency of this initiative is underscored by recent developments, such as TRAFALGAR Group's plan to build India's first rare earth metals, alloy, and magnet plant in Gujarat, aiming to supply 20 per cent of domestic NdFeB magnet demand by 2027.

Additionally, India is exploring green technologies for recycling critical minerals in collaboration with the UK, enhancing sustainability in the sector.

By fostering domestic production and international partnerships, India aims to mitigate supply chain risks and support its growing industries reliant on rare earth magnets.

(KNN Bureau)

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