India's rare earth plan faces fresh hurdles as China tightens exports

India’s plan to boost domestic production of rare earth minerals and magnets, key materials for electric vehicles and high-tech industries, could hit a major roadblock. Beijing’s latest decision to tighten controls on the export of rare earth processing equipment is raising concerns among Indian industry leaders and government officials working on the ₹7,300 crore incentive scheme, according to a report by The Economic Times. 

Earlier this month, China’s Ministry of Commerce expanded export restrictions to include machinery and materials used for producing and processing rare earth elements. These controls cover items such as centrifugal extraction machines and intelligent impurity-removal equipment, both essential for processing ionic rare earth ores.