India's Leap into Rare Earth Magnet Manufacturing

India has launched a Rs 7,280 crore scheme to bolster domestic production of Rare Earth Permanent Magnets (REPM), reducing reliance on China and enhancing strategic manufacturing capabilities. This initiative is crucial for sectors like electric vehicles, electronics, and defence, promoting self-reliance and sustainability.

The government of India has announced a significant Rs 7,280 crore scheme aimed at boosting domestic manufacturing of Rare Earth Permanent Magnets (REPM). The initiative, approved during a recent Cabinet meeting, seeks to diminish India's reliance on China, traditionally a major player in this industry, according to industry experts.

Highlighting the importance of the move, Manish Singhal, Secretary General at Assocham, emphasized that the scheme is pivotal in reinforcing India's strategic manufacturing capacities. With the country looking toward critical sectors such as electric mobility, electronics, and renewable energy, the establishment of a 6,000 MTPA domestic capacity is seen as both timely and transformative.

The scheme aims to create a comprehensive ecosystem for the manufacturing of REPMs, a critical component in automotive, aerospace, and electronic industries. Experts believe that this initiative will not only decrease import dependence but also enhance India's technological competitiveness globally, while reducing carbon emissions and increasing energy security.

(With inputs from agencies.)