New Delhi: The Union Cabinet on Wednesday approved a Rs 7,280 crore scheme to promote domestic manufacturing of rare earth permanent magnets, a critical component for electric vehicles, renewable energy, and advanced electronics.
The scheme, titled “Scheme to Promote Manufacturing of Sintered Rare Earth Permanent Magnets”, was cleared at a Cabinet meeting chaired by Prime Minister Narendra Modi. The initiative aims to create a production capacity of 6,000 metric tonnes per annum (MTPA), strengthening India’s supply chain for strategic materials.
Information and Broadcasting Minister Ashwini Vaishnaw highlighted that the move is part of the government’s broader push to boost high-tech manufacturing and reduce dependency on imports. The scheme is expected to generate investment opportunities, enhance technological capabilities, and support the development of sectors reliant on rare earth magnets.
The government has emphasized that this initiative aligns with India’s strategic objectives of self-reliance in critical materials, fostering innovation, and creating employment in high-tech manufacturing.
Officials noted that the program will include incentives for manufacturers, support for research and development, and the establishment of advanced production facilities to meet domestic and global demand.
With the Cabinet approval, India is set to make significant strides in rare earth magnet manufacturing, boosting its position in the global technology and clean energy supply chain. (Agencies)
