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Japan eyes India's rare earths for EV needs
3 Mar
Summary
- Japan seeks joint exploration of Rajasthan's rare earth deposits.
- India identified 1.29 million metric tons of rare earth oxides.
- Collaboration aims to reduce reliance on China for vital minerals.
Japan is actively engaging in discussions with India for a joint venture to explore rare earth deposits situated in Rajasthan, India. This strategic initiative aims to diversify Japan's supply chain and decrease its reliance on China for essential materials crucial for producing magnets used in electric vehicles and wind turbines.
Recently, India announced the identification of substantial rare earth oxide deposits, totaling 1.29 million metric tons, within the desert state of Rajasthan and Gujarat. Following a preliminary pact on critical minerals last year, Japan has expressed keen interest in these Rajasthan deposits. Japan is poised to offer technological expertise and financial support for extraction processes, which India currently lacks for hard rock deposits.
This partnership aligns with both nations' objectives to curtail dependence on Chinese imports. India seeks to develop industrial-scale facilities for processing rare earth elements, with Japan potentially contributing essential technology. The move comes amidst escalating trade disputes, as China recently restricted exports of dual-use materials to several Japanese entities.
