India Seeks China Talks Over Magnet Import Delays

05 Jun 2025 CW Team

Indian authorities are initiating diplomatic engagement with Beijing to resolve delays in the import of rare earth magnets from China, which are critical to the country's auto, electronics, and clean energy sectors. According to The Economic Times, the supply disruption has triggered concerns across industries, particularly among electric vehicle (EV) and gear system manufacturers.

Despite the Chinese embassy in India endorsing import applications for nine Indian auto component firms—including Continental Automotive, Hitachi Astemo, and Mahle Electric Drives—final clearance from China’s commerce ministry has not been granted. No shipments have been released in the past two months, raising the risk of production halts.

Rare earth magnets, though representing a small proportion of total import value, are indispensable in drive trains, electric circuits, and motor systems. “Even if one such component is missing, production stops entirely,” an industry executive told The Economic Times.

India imported 870 tonnes of rare earth magnets worth approximately Rs 3.06 billion in FY25. The Society of Indian Automobile Manufacturers (SIAM) recently warned the government that inventory levels are critically low and disruptions to vehicle production could begin within weeks.

The impact extends beyond the auto industry. “It affects everyone—automotive, aerospace, electronics, clean energy. Anything involving electric circuits is at risk,” said another executive.

These supply issues stem from export restrictions announced by China on 4 April, reportedly for national security reasons. The controls follow global trade tensions and have impacted firms not only in India but also in the US, Germany, and Japan.

Out of 17 Indian companies that applied for import clearances, eight—including Minda Instruments, Nippon Audiotronix, and HMC MM Auto—are still awaiting End User Certificate (EUC) approvals from the Chinese embassy, further aggravating the supply chain crisis.

Infrastructure Urban

13 Oct 2025

Daikin Boosts Haryana’s Innovation Push with Rs 10 billion R&D Plan

Japanese multinational Daikin Industries has committed an investment of Rs 10 billion to set up a new research and development centre in Haryana. The proposed facility will focus on advanced technologies and sustainable industrial solutions, marking a significant boost to the state’s innovation and industrial ecosystem. The announcement follows the signing of a Memorandum of Understanding (MoU) in Osaka, Japan, during a visit by a Haryana government delegation held from October 6 to 8. The MoU was signed by Amit Kumar Agrawal, Commissioner and Secretary, Industries and Commerce Department, ..

Lloyds Metals to Build Rs 250 billion Steel Plant in Gadchiroli

Lloyds Metals & Energy Limited (LMEL) has announced an investment of Rs 250 billion aimed at transforming Gadchiroli in Maharashtra from a region once associated with the red corridor into a key industrial and growth hub. The company’s plans are centred on establishing an integrated steel production ecosystem, which will contribute significantly to regional development and employment. As part of its expansion strategy, LMEL is setting up a 4.5-million-tonne blast furnace in Gadchiroli, scheduled for completion by 2027–28, along with another 1.2-million-tonne facility in Chandrapur by 2029..

UPI Crosses 500 Million Users, Fuels MSME and Digital Growth

The Unified Payments Interface (UPI) has achieved a new milestone, surpassing 500 million consumers and 65 million merchants across India. The platform, developed by the National Payments Corporation of India (NPCI), has expanded its reach to nearly 99 percent of the country’s pin codes, underlining its deep penetration into both urban and rural markets. According to a report by NPCI and the Boston Consulting Group (BCG) launched during the Global Fintech Fest 2025, UPI has evolved from being a digital payments mechanism into a key enabler of financial inclusion and small business growth. I..