India wants to make its own rare earth magnets
India is rolling out a ₹7,280 crore plan to start making rare earth magnets at home—these are the tiny powerhouses inside electric vehicles, wind turbines, and gadgets.
Right now, India buys over 90% of these magnets from China.
The new scheme aims to set up enough local factories to produce 6,000 metric tons a year and cut down on imports.
What's the government actually doing?
The plan is to split magnet-making between five companies, each getting support through sales incentives and capital subsidies.
The focus is on neodymium-iron-boron magnets—the kind that keep EVs and electronics running smoothly—from rare earth oxide to finished magnets.
Why does this matter?
This move is part of India's push for self-reliance in tech and energy.
By building its own supply chain for these crucial magnets (even if some raw materials still need importing), India hopes to rely less on China and secure its spot in the global clean tech race.