India to set up rare earth magnet factories
India is inviting global companies to set up five new factories that make rare earth magnets, the stuff inside electric cars, wind turbines, and your favorite gadgets.
The goal? To produce 6,000 metric tons a year and finally reduce how much India depends on China for these crucial parts.
Why rare earth magnets matter
In recent years, a large share of imported rare-earth magnets by quantity originated from China, but demand is expected to roughly double due to growth in electric mobility and renewable energy.
To spark local manufacturing, the government is offering big incentives: ₹750 crore as a capital subsidy and ₹6,450 crore as sales-linked/production-linked incentives.
Plus, the three lowest bidders will be assured supply of NdPr (neodymium-praseodymium) oxide from IREL (India) Limited.
With new rare earth corridors planned in states like Odisha and Tamil Nadu, this could be a game-changer for tech jobs and innovation in India.