&w=3840&q=100)
India in talks with Japan, Vietnam on rare earth imports: Kumaraswamy
India is currently in talks with Japan and Vietnam to import rare earths in response to China's recent import restrictions. Additionally, the country plans to introduce an incentive scheme for processing rare earth oxides into magnets, which is expected to take two years. A decision on this scheme will be made in 15 to 20 days, Union Minister of Heavy Industries H D Kumaraswamy said.
China curbs exports of key materials
Following escalating tariffs imposed by former US President Donald Trump, Beijing enacted export restrictions on seven heavy and medium rare earth elements and magnets on 4 April. These elements—samarium, gadolinium, terbium, dysprosium, lutetium, scandium, and yttrium—are crucial for defence, energy, and automotive technologies. Chinese companies must now secure defence licences to export these materials.
'We have had discussions with the mines ministry, and they are working on this issue. We expect to make a final decision within the next 15 to 20 days,' Kumaraswamy told reporters at the launch of the Scheme to Promote Manufacturing of Electric Passenger Cars in India (SPMEPCI) portal on Tuesday.
Business Standard earlier reported that the government was considering developing 3,000 to 5,000 incentive schemes and looking at alternative sourcing to mitigate risks from China's supply. India may also negotiate with China for motors and sub-assemblies if export norms on magnets are not relaxed.
Stakeholder consultations are ongoing, and the Ministry of Heavy Industries (MHI) has received varied proposals, with some firms requesting support levels of 50 per cent and others seeking 20 per cent. 'This will be subject to a competitive bidding process, which will help us determine the required level of support,' said Kamran Rizvi, secretary, MHI.
Domestic processing could take two years
The required support is significant, Rizvi said, as global rare earth oxide and magnet prices on the Shanghai Stock Exchange show only about 5 per cent difference. China's monopoly has kept magnet prices exceptionally low.
'The level of incentive we require aims to assist companies in the investment needed to transition from oxide to magnet production. The necessary government support must be quantified to ensure magnets produced in India are globally competitive,' Rizvi explained.
Processing rare earth oxides into magnets may take at least two years.
Midwest to supply 500 tonnes by year-end
When asked if Cabinet approval would be necessary, Rizvi said it depends on the size of the incentive. 'If the amount is less than ₹1,000 crore, our minister and the finance minister can approve it. Should it exceed ₹1,000 crore, Cabinet approval will be required. We are still assessing the required subsidy amount.'
Meanwhile, Midwest has expressed interest in processing rare earths and has committed to delivering 500 tonnes by the end of December this year, the minister confirmed.
Business Standard had also reported that Hyderabad-based Midwest Advanced Materials expressed interest in mining and processing rare earths with technology transferred from the Non-Ferrous Materials Technology Development Centre.
India's rare earth ecosystem and capacity
Currently, Indian Rare Earths Limited (IREL), a company under the Department of Atomic Energy, is the sole holder of rare earth materials in the country. It has sufficient resources to produce 1,500 tonnes of magnets annually.
Industry adapting to avoid production disruption
On possible production impacts starting in July, Kumaraswamy said companies are taking steps to minimise disruption. 'While there was an understanding that some disruption might occur, recent developments suggest improvement. No reports indicate a halt in production. Fully assembled components can still be imported, and companies are actively working on solutions.'
'We are discussing motors and their components. We may need to explore options if the disruptions persist long-term,' he added.
Separately, India is reaching out to countries including the US, Germany, Czechoslovakia, and Vietnam—along with their embassies—to attract investment from global automotive firms for electric vehicle manufacturing. A four-month application window will be given under the SPMEPCI scheme. As of now, Tesla has not expressed interest in participating.
'Ultimately, we will know which global automakers come on board by 21 October,' Rizvi said.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Hindustan Times
an hour ago
- Hindustan Times
Trump administration accuses judge of defying Supreme Court in deportation fight
* Trump administration accuses judge of defying Supreme Court in deportation fight US has sought to deport migrants to unstable South Sudan * Judge says deportation attempt violated his injunction By Andrew Chung June 24 - President Donald Trump's administration accused a federal judge on Tuesday of defying the U.S. Supreme Court's authority, escalating a fight over a group of eight migrants who it had sought to rapidly deport to politically unstable South Sudan. In a filing to the Supreme Court, the Justice Department said U.S. District Judge Brian Murphy showed "unprecedented defiance" by ignoring Monday's decision by the justices that let the administration resume deporting migrants to countries other than their own without offering them a chance to show the harms they could face. Monday's decision lifted the Boston-based judge's April 18 injunction requiring that migrants set for deportation to so-called "third countries" get a "meaningful opportunity" to tell U.S. officials they are at risk of torture at their new destination. It was the latest legal victory for Trump at the Supreme Court in his aggressive pursuit of mass deportations. The Supreme Court's three liberal justices dissented. The court has a 6-3 conservative majority. After the Supreme Court's decision, Murphy issued an order clarifying that its action did not apply to the judge's separate May 21 decision that the administration violated his injunction in attempting to send the migrants to South Sudan. The U.S. State Department has urged Americans to avoid the African nation "due to crime, kidnapping and armed conflict." Murphy's May 21 order prompted the U.S. government to keep the migrants at a military base in Djibouti. Murphy also clarified at the time that non-citizens must be given at least 10 days to raise a claim that they fear for their safety. The Justice Department urged the Supreme Court on Tuesday to clarify that its order lifting Murphy's injunction also applies to the May 21 decision concerning South Sudan. "The district court's ruling of night is a lawless act of defiance that, once again, disrupts sensitive diplomatic relations and slams the brakes on the executive's lawful efforts to effectuate third-country removals," the Justice Department wrote in its filing. The Justice Department said its agents are being "forced to house dangerous criminal aliens at a military base in the Horn of Africa that now lies on the borders of a regional conflict." The administration has said its third-country policy is critical for removing migrants who commit crimes because their countries of origin are often unwilling to take them back. The escalating dispute comes as the administration itself has been accused of violating judicial orders, including in the third-country deportation litigation. Liberal Supreme Court Justice Sonia Sotomayor wrote in a dissent on Monday that in sending migrants to South Sudan, and in another instance four others to the U.S. naval base at Guantanamo Bay, Cuba, and on to El Salvador, the administration "openly flouted two court orders" issued by Murphy. Sotomayor also pointed to separate litigation over Trump's invocation of an 18th century law historically used only in wartime to justify deportations - a legal dispute in which questions have been raised about the administration's compliance with an order issued by a judge in that case. "This is not the first time the court closes its eyes to noncompliance, nor, I fear, will it be the last," Sotomayor wrote. "Yet each time this court rewards noncompliance with discretionary relief, it further erodes respect for courts and for the rule of law." Murphy found that the administration's policy of "executing third-country removals without providing notice and a meaningful opportunity to present fear-based claims" likely violates the U.S. Constitution's due process protections. Due process generally requires the government to provide notice and an opportunity for a hearing before taking certain adverse actions. Lawyers representing the migrants in a class action lawsuit asked the Supreme Court to reject the administration's latest request. The administration wants to "deport these men to South Sudan with no process at all," the lawyers said. "The lives and safety of eight members of the nationally certified class in this case are at imminent risk," they added. This article was generated from an automated news agency feed without modifications to text.
Indian Express
an hour ago
- Indian Express
NHRC takes cognisance of Etawah tonsuring incident, Akhilesh calls it ‘attack on PDA'
Taking cognisance of an incident involving some 'upper caste' men assaulting a kathavachak (religious speaker) and his associate from the Yadav community and tonsuring their heads, the National Human Rights Commission (NHRC) on Tuesday issued a notice to the Etawah district police and directed to submit an action taken report. The development came a day after a video of the incident went viral. Four accused have been arrested and sent to jail after an FIR was registered in the matter, police said. Also, Samajwadi Party president Akhilesh Yadav termed the incident as an attack on PDA (Pichhde, Dalit and Alpsankhyak) and felicitated the two men at the party office in Lucknow. The accused were identified as Nikki Awasthi, 30, Pratham Dubey, 24, Ashish Tiwari, 21 and Uttam Awasthi, 19. The alleged incident took place at Dadarpur village on Saturday (June 21) after the villagers objected to the kathavachak, Mukut Munni, identifying himself as a Brahmin. The NHRC sought the action taken report from the Etawah Senior Superintendent of Police (SSP) on the basis of a complaint filed by Bhopal-based Dr Ambedkar Jankalyan Samiti, which alleged the religious speaker and his associate from backward class were assaulted, their heads tonsured and human urine was thrown at them. Also, they were forced to rub their nose at the feet of a woman and their instruments were damaged, it was alleged. 'The allegations made in the complaint prima facie seem to be a serious violation of human rights of the victims,' the commission observed in its notice. Mukut Munni said the incident took place after he informed the villagers about his caste. In a press statement, the police said the social media team at the police headquarters on Monday evening received a tweet through X, in which a video of tonsuring of a kathavachak was attached. Taking cognizance of the tweet, it was forwarded to Etawah district for necessary action, they said. SSP Brijesh Kumar Srivastava said, 'A video of villagers misbehaving with two individuals and cutting their hair against their will surfaced. The accused were identified with the help of the video.' Claiming it was an attack on PDA, Akhilesh Yadav said, 'Members of the PDA family are being intimidated. If Bhagwat Katha is for everyone to listen to then everyone can recite it as well. Bhagwat Katha is related to Lord Krishna and if his true followers would be stopped from reciting it then we will not tolerate this disrespect.' The SP chief alleged that some people want to have a monopoly on the recitation of kathas, saying, 'If such people have hostility towards PDA then they should stop taking donations from the community.' Earlier in the day, Uttar Pradesh Tourism Minister Jaiveer Singh said unnecessary hype should not be given to the incident as the accused have been arrested. 'I believe that caste has no privilege over merit and efficiency. One can do anything based on their ability. The incident is unfortunate. An FIR has been registered against the accused. There is no need to give this incident a political turn as no injustice towards anyone would be done under this government,' the minister said, claiming that Akhilesh 'sees PDA in everything'.
Time of India
an hour ago
- Time of India
China's top official has an 'inflation warning' for Americans, says US will likely see inflation pick up starting ...
Representative Image (AP Photo/Ahn Young-joon) China is poised to unleash a wave of artificial intelligence innovation, with over 100 breakthroughs akin to DeepSeek expected in the next 18 months, according to Zhu Min, former deputy governor of the People's Bank of China. Speaking at the World Economic Forum's annual meeting in Tianjin, Zhu said these advancements 'will fundamentally change the nature and the tech nature of the whole Chinese economy,' as reported by Bloomberg. Zhu, also a former deputy managing director at the International Monetary Fund, attributed China's AI potential to its vast pool of engineers, massive consumer base, and supportive government policies. However, he warned that global trade faces headwinds, telling reporters, 'The uncertainty brought by U.S. tariff policy is an important factor that may lead to negative growth in global trade this year.' As per the report, Zhu noted that the global trade industrial chain is slowing, with investments stalling, amplifying the impact beyond tariff rates alone. Zhu predicted U.S. inflation could rise starting in August as companies deplete pre-tariff stockpiles. "China saw strong GDP growth, highest since December 2023" Despite external pressures, China's economy shows resilience. Huang Yiping, a member of the People's Bank of China's monetary policy committee, estimated second-quarter GDP growth exceeded 5%, citing strong April and May performance and positive June indicators. Speaking at the Tianjin forum, Huang, who is also dean of Peking University's National School of Development, highlighted robust retail sales in May, which grew at the fastest pace since December 2023. However, Huang emphasized that boosting consumption remains a challenge, particularly as global markets become less accessible. 'For a large country, you can't continuously export your excess capacity,' he said, advocating a focus on domestic circulation as a policy priority. Reflecting on past stimulus measures, Huang acknowledged criticisms of China's aggressive response during the global financial crisis, which led to asset bubbles and local government debt. Still, he supported decisive action today, stating, 'I personally would still support decisive policy action today, and then quickly turn around to deal with the problems later.'
