India Plans ₹7,000 Crore Rare-Earth Magnet Push

India is preparing to nearly triple funding for its rare-earth magnet incentive programme to about ₹7,000–7,300 crore (roughly $788 million) to build domestic magnet manufacturing capacity, with support expected for around five firms through production-linked incentives and capital subsidies pending cabinet approval. The plan would cap incentives at about 1,200 tonnes per company and responds to China’s dominance and recent export curbs that have disrupted supplies for EVs, renewables and defence. New Delhi is also financing studies of magnet-less technologies such as synchronous and reluctance motors to reduce long-term dependence. India needs roughly 2,000 tonnes of neodymium oxide annually while state miner IREL produces only about 400–500 tonnes, and several global suppliers have signalled willingness to sell rare-earth oxides to India. Officials and analysts say the programme aligns with wider Western efforts to diversify supply chains but will face significant technical, environmental and financing hurdles that will determine its effectiveness.