&w=3840&q=100)
India in touch with China over rare earth supply chain issues: MEA
The new Chinese restrictions, effective from April 4, require special export licenses for certain specific rare earth elements and their related magnetic products
ANI Asia
The Ministry of External Affairs (MEA) said that India is in touch with China on several economic and trade issues, including the supply chain issue of rare earth materials.
Addressing a weekly briefing on Thursday, Jaiswal said, "On trade issues on rare earth, yes, we have been in touch with the Chinese side, both in Delhi and also in Beijing, and we have been talking to them as to how we can streamline the supply chain issue on rare earths."
"We are in touch with the Chinese side on several economic and trade issues, as and when anything is required," he added.
Meanwhile, commerce Secretary Sunil Barthwal on Monday highlighted India's engaged with China both commercially and diplomatically on the issue of rare earth minerals supply and is making all efforts to ensure essential imports.
"We're engaged with SIAM and ACMA, facilitating them to have discussions with Chinese counterparts," the commerce secretary said.
He noted that China's rare earth move was a global response, and not just against India.
Commerce and Industry Minister Piyush Goyal recently described China's rare earth export restrictions as a global "wake-up call," emphasising that India is actively building alternative supply chains while positioning itself as a trusted partner for international businesses seeking to reduce their dependence on Chinese suppliers.
China's overwhelming control of global rare earth processing - commanding over 90 per cent of the world's magnet production capacity--has created significant vulnerabilities for industries worldwide. These materials are critical across multiple sectors, including automobiles, home appliances, and clean energy systems.
Beyond China, there are only a few alternative suppliers.
The new Chinese restrictions, effective from April 4, require special export licenses for certain specific rare earth elements and their related magnetic products.
Separately, India and Central Asian countries -- Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan and, Uzbekistan -- have recently expressed interest in joint exploration of rare earth and critical minerals at the recently held India-Central Asia Dialogue.
Rare earth magnets, low in cost but critical in function, could emerge as a key supply-side risk for India's automotive sector if China's export restrictions and delays in shipment clearances persist, according to a report by Crisil Ratings last week.
The rating agency said this week that a disruption lasting more than a month can already impact electric vehicle (EV) launches, affect production, and weigh on the sector's growth momentum.
Rare earth magnets are integral to permanent magnet synchronous motors (PMSMs) used in EVs for their high torque, energy efficiency and compact size. Hybrids also depend on them for efficient propulsion.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
an hour ago
- Time of India
INDIA bloc may move court over SIR: Digvijaya
Senior Congress leader Digvijaya Singh on Sunday said all constituents of INDIA bloc may knock the door of judiciary against the ongoing Special Intensive Revision (SIR) of electoral roll in Bihar if the Election Commission does not accept Opposition parties objections about the drive. Singh accused the NDA government at the Centre of trying to erase the names of poor and marginalised voters from the electoral rolls through SIR ahead of the assembly polls in the state. "The SIR drive of the ECI is a deliberate attempt to disenfranchise poor, tribal, young, flood-affected, and migrant voters in the upcoming Bihar assembly elections . All constituents of INDIA bloc may knock the door of judiciary against the ongoing SIR of the electoral roll in Bihar if the ECI does not accept the Opposition's objections about the drive. Is it possible to conduct house-to-house verification of around eight crore voters within 25 days by the ECI in Bihar, he asked. The SIR drive has been launched just a few months before the state polls, he said, adding, "The ECI should have taken the opinion of all political parties before launching this drive."
News18
an hour ago
- News18
Jaishankar To Visit US On Rubio's Invitation To Attend Quad Foreign Ministers' Meet
Last Updated: In addition to the Quad, Jaishankar will inaugurate an exhibition titled "The Human Cost of Terrorism' at the United Nations Headquarters in New York on June 30. External Affairs Minister S Jaishankar will embark on an official visit to the United States from June 30 to July 2, at the invitation of US Secretary of State Marco Rubio, the Ministry of External Affairs (MEA) announced today. During the visit, Jaishankar will take part in the Quad Foreign Ministers' Meeting (QFMM), scheduled for July 1, where the foreign ministers of India, the US, Japan, and Australia will build upon the discussions from the previous QFMM held in Washington on January 21. Key topics on the agenda include regional and global developments, with a strong focus on the Indo-Pacific, as well as a review of progress on ongoing Quad initiatives ahead of the forthcoming Quad Leaders' Summit, which will be hosted by India. The ministers are also expected to deliberate on new proposals aimed at strengthening their shared vision for a free, open, and inclusive Indo-Pacific region, the MEA said. In addition to the Quad, Jaishankar will inaugurate an exhibition titled 'The Human Cost of Terrorism" at the United Nations Headquarters in New York on June 30. The exhibit aims to shed light on the global impact of terrorism and underscore international efforts to combat this menace, the MEA said. Notably, the event carries added significance as it comes just a month after India launched Operation Sindoor, aimed at dismantling terror infrastructure in Pakistan, in response to the Pahalgam terror attack that claimed 26 lives. First Published: June 29, 2025, 23:51 IST
&w=3840&q=100)
Business Standard
an hour ago
- Business Standard
Powell, Lagarde weigh Trump's impact as global policy risks deepen
The global economy's concussion from five months of Donald Trump's presidency is likely to feature when five of the world's leading central bank chiefs discuss monetary policy in public on Tuesday. From tariff-related trade ructions to oil-price gyrations caused by Middle East hostilities, the question of how to handle the fallout from White House decisions may loom large as Federal Reserve chief Jerome Powell speaks on a panel with peers from the euro zone, Japan, South Korea and the UK. The high-powered gathering at the European Central Bank's annual retreat in Portugal will be the first time that its president, Christine Lagarde, has shared a stage for a public discussion with her US counterpart since the same event in 2024. Back then, when they spoke alongside former Brazilian central bank chief Roberto Campos Neto, their discourse morphed into something resembling a group therapy session on the trials of setting interest rates at times of political stress — a premonition, in its own way, of the turbulence to come. One year on, and at the halfway point of 2025, global policy is almost paralyzed by the need to navigate risks posed both to inflation and growth in the wake of Trump's actions — a challenge highlighted by the Bank for International Settlements in a report on Sunday. Such a trade-off is faced by all the central bank chiefs who will speak on the panel in the hilltop resort of Sintra. Powell insisted on Tuesday that the Fed is in no rush to change rates, and earlier this month the Bank of England left borrowing costs on hold too. What Bloomberg Economics Says: 'Quickening core inflation and slowing spending will keep the Fed uneasy, fueling debate about the appropriate number of rate cuts this year.' The ECB itself, having just delivered a reduction, isn't ready to do any more for now, and the Bank of Japan is widely expected to keep its benchmark unaltered at its July 31 meeting. The Bank of Korea is insisting on acting cautiously too. In a podcast before this week's retreat, ECB Chief Economist Philip Lane emphasized the panel as the highlight of the whole gathering, whose theme of 'Adapting to Change' seems something of an understatement. 'You do need to step back — rather than just talk about 'what are we going to do in July or September?' — to look at the underlying forces,' he said, before predicting that the central bank chiefs will deliver 'a very lively session.' Elsewhere, US jobs, Chinese business surveys and euro-zone inflation numbers will be among the highlights. Click here for what happened last week, and below is our wrap of what's coming up in the global economy. US and Canada Following fresh figures on Friday that showed American consumers are becoming somewhat fatigued, the US jobs report for June will offer clues about the strength of the labor market. Economists forecast employers added 113,000 jobs during the month, the fewest in four months yet still consistent with healthy labor demand. The Bureau of Labor Statistics report is due Thursday, a day earlier than usual because of the Independence Day holiday. It's also forecast to show the unemployment rate crept up to 4.3%. For a Federal Reserve awaiting more clarity on the potential inflationary impact from tariffs, any pronounced deterioration in the labor market would likely lead to more pressure on officials to lower interest rates. So far, there have been only scattered signs of cracks in the job market, including the highest number of recurring claims for jobless benefits since late 2021. A Labor Department report on Tuesday is expected to show little change in May job openings from a month earlier. Canadian goods trade data for May will probably show a continued sharp decline in US exports, with shipments to other countries rising but not offsetting the loss of access to the American market. The first payments of Canada's digital services tax are due Monday, hitting major US tech firms with a 3% levy on their revenue from Canadian users above C$20 million. Trump cited the tax as the reason for the US ending trade talks with Canada on Friday. Asia The week in Asia features a slew of PMI reports that will shed light on how regional economies are coping with elevated US tariffs. China gets a pair of PMI releases, with the official gauge Monday expected to show that manufacturing activity remained contractionary for a third straight month in June as persistent deflation on top of trade tensions weighed on activity. The next day sees the release of PMI figures for South Korea, Malaysia, the Philippines, Indonesia, Thailand, Vietnam, Taiwan and China's Caixin gauge. The BOJ's Tankan survey, also on Tuesday, is forecast to show that large companies plan to boost capital investment by 10% this fiscal year. Business sentiment among large manufacturers is expected to stay relatively upbeat, albeit at a lower level, while the gauge for non-manufacturers is seen staying close to the 34-year high set in the previous period. May trade reports are due during the week from Australia, Indonesia, Thailand and Sri Lanka, while South Korea reports those figures for June. South Korea also publishes consumer price statistics for June that may keep the Bank of Korea on track for another rate cut. Indonesia June CPI is also due. Industrial output figures from South Korea, India and Japan, and Japanese household spending data will bookend the week. Europe, Middle East, Africa Inflation numbers will draw attention in the euro zone. Data on Monday may show consumer-price growth picked up in Germany and Italy, though not enough to worry the ECB. For the region as a whole, economists anticipate an outcome of 2% the following day, exactly at the goal targeted by policymakers. Other than price reports, clues on how the region's manufacturing sector is faring amid Trump's tariff squeeze will also emerge. German factory orders, along with French and Spanish industrial production, will be published on Friday. Aside from its Sintra seminars, the ECB itself will offer plenty of other news. The results of its strategy review are due on Monday, followed by the institution's own measure of inflation expectations the next day. On Thursday, an account of its June policy meeting will be released, revealing more on the decision to cut rates. Beyond Sintra, ECB officials will be out in force at another economic gathering later in the week in Aix-en-Provence, in southern France. On Monday, the Swiss National Bank will reveal how much foreign-exchange intervention it carried out during the first quarter. Switzerland's latest inflation numbers are scheduled for Thursday and may also draw interest from traders focused on the franc. Economists anticipate that consumer prices fell from a year earlier for a second month in June. In the UK, a full breakdown of gross domestic product for the first quarter will be published on Monday. Appearances by BOE Governor Andrew Bailey in Sintra and Aix-en-Provence will also be highlights. Away from Europe, South Africa's Bureau for Economic Research will release its second-quarter inflation expectations survey on Wednesday. The report will be closely monitored by the central bank, which uses the two-year-ahead measure to inform its decisions. The bank aims to anchor expectations at the 4.5% midpoint of its target range, but is currently in discussions with the National Treasury to revise it lower. In Turkey on Thursday, annual inflation is forecast to slow slightly to 35.2% in June from 35.4% the prior month. That may persuade the central bank to lower its main policy rate by at least 300 basis points to 43%. Latin America Argentina will publish activity data for April on Monday, with the result in focus after first-quarter growth data showed that the economy expanded significantly slower than expected early in 2025. Chile will follow with economic activity data for May on Tuesday, a reading that will follow weekend primary elections for center-left candidates hoping to succeed President Gabriel Boric in a race for the country's top job later this year. The data also comes after Chile's central bank kept its rate unchanged in mid-June, with policymakers saying that while domestic activity has exceeded expectations, they remain vigilant about an unpredictable global economy. The monetary authority will publish the minutes to that decision on Thursday, with analysts looking for clearer signals about when policymakers may start cutting rates after signaling that more monetary easing is coming. Later that day, Colombia's central bank will publish minutes to its decision to hold rates steady on Friday. The Andean nation has been roiled in recent weeks by the government's decision to suspend its fiscal rule, a move that along with a worsening debt burden led both S&P Global Ratings and Moody's Ratings to downgrade the nation's credit last week.
