Daijiworld Media Network - New Delhi
New Delhi, Mar 3: Japan is in discussions with India to jointly explore rare earth deposits in Rajasthan as Tokyo seeks to reduce its dependence on China for critical minerals used in magnet manufacturing, Reuters reported, citing sources familiar with the matter.
Last month, Union minister G. Kishan Reddy said three hard rock rare earth deposits containing 1.29 million metric tonnes of rare earth oxides had been identified in Rajasthan and Gujarat.
The talks follow a preliminary pact on critical minerals signed between Japan and India last year. According to sources involved in the decision-making, Tokyo has shown interest in the Rajasthan deposits and is planning to send experts to the site.
The timeline for the visit has not been disclosed as the discussions are not yet public.
In Rajasthan, Japan is expected to offer extraction technology and funding in exchange for a stable offtake arrangement for rare earth supplies. Sources told Reuters that hard rock deposits require specialised extraction techniques, which India currently lacks at scale.
Naoki Kobayashi, deputy director at Ministry of Economy, Trade and Industry (METI), said Japan is examining mining projects worldwide to diversify mineral supplies, including rare earths. However, he denied any ongoing discussions regarding specific corporate partnerships or technology transfers related to Rajasthan.
Like Japan, India is also aiming to reduce reliance on Chinese imports by developing industrial-scale facilities to process rare earth elements to high purity levels. Japan could potentially provide the necessary technology for such processing capabilities.
Rare earths are vital for manufacturing permanent magnets used in electric vehicle motors, wind turbines, fighter jets and drones — sectors considered crucial for India’s industrial and strategic growth.
The development comes amid rising tensions between Japan and China. Recently, Beijing prohibited exports of dual-use items — materials with both civilian and military applications — to 20 Japanese entities that it claims supply Japan’s military.
The move effectively restricts Japanese companies’ access to seven rare earth elements and related materials currently listed under China’s dual-use export controls, along with other critical minerals.
Apart from rare earths, Japan is also reportedly exploring collaboration with Indian firms to scout for lithium, copper and cobalt reserves in Africa as part of its broader strategy to secure diversified mineral supplies.