India seeks stable rare earth supplies amid China’s export curbs impacting global auto, defence, and energy sectors.
India is actively engaging with China to bring greater stability and predictability to trade supply chains, particularly following Beijing’s restrictions on exports of rare earth elements. The Ministry of External Affairs confirmed on Thursday that discussions are underway at diplomatic levels in both New Delhi and Beijing.
The move comes amid global concerns triggered by China’s recent export curbs on seven critical rare earth materials—samarium, gadolinium, terbium, dysprosium, lutetium, scandium, and yttrium—which are vital for automotive, defence, and energy industries. Chinese exporters must now obtain special permits to ship these elements abroad.
Commerce Minister Shri Piyush Goyal earlier stated the curbs could impact India’s automotive and white goods sectors in the short term. While a new US–China agreement aims to lift these restrictions, Beijing has introduced a six-month cap on export licences to US firms, maintaining trade uncertainty.
China controls over 90% of global rare earth refining, amplifying the risks of supply disruptions.
Source: Business Standard
