India’s roadside enhanced rare earth magnet production in China: G Kishan Reddy
Amid global concerns about China’s rare earth export controls, Coal and Mining Minister G Kishan Reddy announced on Saturday that the central government has decided to start producing rare earth magnets in Hyderabad. This move is an important step for India to move towards self-reliance in key technologies.
Speaking to ANI, the minister said: “The central government has decided to produce rare earth magnets in Hyderabad. Our Ministry of Mines NFTSM Institute is working with various industries to produce the necessary machinery.”
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India is about to showcase permanent magnet manufacturing
Reddy added that the government will soon prove its progress in domestic magnet manufacturing. “In the next 3-4 months, they will demonstrate their efforts in making permanent magnets. The program involves collaboration between industries, mining and other ministries and has been discussed with Prime Minister Narendra Modi. The central government is taking the production of rare earth magnets seriously.”
Reliance on China ends with restrictions
The minister also acknowledged India’s past reliance on China’s supply of key rare earths. “Our 100% relies on China’s rare earth permanent magnets, but recently China denies supplying them to us,” Reddy said.
In April 2024, China imposed export controls on certain rare earth materials, triggering global shortages and undermining supply chains, including India. This move prompts countries to diversify their sources and invest in domestic capacities.
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Industry welcomes the promotion of rare earths, and the government clears NCMM
Pankaj Mohindroo, President of the Indian Cellular and Electronics Association (ICEA), welcomed the Centre’s initiative, in particular the program incentives for enhancing rare earth magnet production.
This move is consistent with recent policy announcements. On July 23, 2024, Finance Minister Nirmala Sitharaman announced the launch of a critical mineral mission during the 2024-25 union budget. The union cabinet followed closely by approving the National Key Mineral Mission (NCMM) for January 2025, with a total expenditure of Rs 16,300 crore, with expected investment in the public sector commitment.
