China, which controls over 90% of global processing capacity, enacted restrictions in April requiring companies to obtain import permits from Beijing.
- China’s export restriction was seen as a response to the US’s policy of reciprocal tariffs.
What are Rare Earth Elements (REE)?
- Definition: REE include 17 metals (the lanthanides plus scandium and yttrium).
- Classified as critical minerals due to:
- Rarely found in economically exploitable concentrations, limited suppliers , Strategic importance in defence, etc.
- Classified as critical minerals due to:
- Features:
- REE alloys prevent corrosion in metals and increase efficiency in energy storage.
- They also improve performance in electronics and advanced manufacturing.
- REE magnets are often utilised in magnets due to their high remanence and coercivity.
- This property is a result of the relatively large number of unpaired electrons in their atomic structure.
- Application: They are essential in aerospace, defence, automotive, and energy systems.
- Examples include cellular telephones, computer hard drives, guidance systems, lasers, and radar and sonar systems etc.
- Global reserves
- China: 44 million metric tons (largest reserve)
- Brazil: 21 million metric tons (2nd Largest)
- India: around 7 million metric tons (5th largest in the world)
Limited processing capacity has made India dependent on imports for REEs (especially from China). The National Critical Mineral Mission (NCMM), launched in 2025, aims to promote the exploration of various critical minerals, including REEs.
