Context
- Recently, on February 19, 2026, Union Minister for Mines G. Kishan Reddy announced that India is set to commence domestic production of Rare Earth Permanent Magnets (REPMs) by the end of this year.
- This move follows the Union Cabinet’s earlier approval of a ₹7,280-crore scheme aimed at establishing an integrated manufacturing ecosystem to reduce the country’s near-total (100%) dependence on imports, particularly from China, which currently controls over 90% of the global processing and manufacturing capacity for these critical components.
1. What are Rare Earth Magnets?
- Definition: These are powerful permanent magnets made from alloys of Rare Earth Elements (REEs)—a group of 17 metallic elements (15 lanthanides plus scandium and yttrium).
- Properties: They are known for having extremely high magnetic strength (energy density) and high coercivity (resistance to being demagnetized) compared to traditional magnets.
- Vulnerability: While physically strong in magnetic terms, they are often brittle and highly susceptible to corrosion, which is why they are typically coated with protective layers like Nickel-Copper-Nickel plating.
2. Two Primary Types Rare Earth Magnets:
- Neodymium Magnets (NdFeB): Composed of Neodymium, Iron, and Boron. They are the strongest type of permanent magnet commercially available and are essential for electric vehicle (EV) motors.
- Samarium-Cobalt Magnets (SmCo): These were the first rare earth magnets developed. Although slightly weaker than neodymium magnets, they have a higher Curie temperature (can operate at up to 700°C) and superior resistance to oxidation, making them vital for aerospace and missile systems.
3. Strategic Importance for India
- Clean Energy: They are indispensable for the “direct drive” generators in wind turbines and traction motors in Electric Vehicles.
- Defence: Used in precision-guided munitions, drones, radar systems, and communication equipment.
- Economic Security: India possesses the world’s 5th largest reserves of rare earths (approx. 6.9 million tonnes), yet it currently imports almost all its finished magnets.
- China Factor: China’s recent export restrictions on rare earth technology and minerals have created a “supply chain squeeze,” necessitating India’s push for “Atmanirbharta” (self-reliance).
4. The Rare Earth Magnet Scheme (2025-26)
- Outlay: ₹7,280 crore over a 7-year period.
- Target: To create a domestic capacity of 6,000 Metric Tonnes Per Annum (MTPA).
- Focus: Integrated manufacturing that covers the entire value chain: Rare Earth Oxides → Metals → Alloys → Finished Sintered Magnets.
- Incentives: Includes ₹6,450 crore as sales-linked incentives and ₹750 crore as capital subsidies.
Q1. With reference to Rare Earth Magnets, consider the following statements:
1. Neodymium magnets (NdFeB) are generally more resistant to corrosion and high temperatures than Samarium-Cobalt (SmCo) magnets.
2. The primary source of rare earth elements in India is the monazite sands found in coastal regions.
3. China currently accounts for more than 90% of the global manufacturing of sintered rare earth permanent magnets.
How many of the above statements are correct?
A) Only one
B) Only two
C) All three
D) None
Correct Answer: B
• STATEMENT 1 IS INCORRECT: Samarium-Cobalt (SmCo) magnets actually have much higher temperature resistance and better corrosion resistance than Neodymium (NdFeB) magnets, which are prone to rusting if not plated.
• STATEMENT 2 IS CORRECT: In India, rare earth elements like Neodymium and Praseodymium are primarily extracted from Monazite, which is found in the beach sands of Kerala, Tamil Nadu, and Odisha.
• STATEMENT 3 IS CORRECT: China dominates the downstream value chain, controlling roughly 91-94% of the global production of sintered rare earth magnets.
