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3 choke points that could hinder India-Japan cooperation on rare earths

How countries secure access to rare earth minerals is a solvable problem. Who controls the technology to process them is the real question.

The recent India-Japan summit was different from the others. It recognised that in the 21st century, economic security begins with control over critical minerals as well as the ecosystems that transform them into strategic technologies.

Prime Minister Narendra Modi hosted Japanese Prime Minister Sanae Takaichi in New Delhi from 1 to 3 July for the 16th India-Japan Annual Summit. It was Takaichi’s first visit to India since taking office. In the landmark meeting, the two leaders signed 16 agreements to match the “New Chapter” in their relationship. However, the part that stood out and is expected to continue to be widely discussed is the Joint Declaration on Economic Security and the accompanying cooperation on critical minerals, including rare earth elements. 

The year 2027 will be marked as the India-Japan Year of Shared Horizons, and these horizons would not be complete without the discussion on critical minerals.

Vulnerable supply chains

In 2025, Beijing tightened exports on elements such as dysprosium, terbium, and yttrium, among others. It is important to note that rare earths such as neodymium, dysprosium, and terbium go into the permanent magnets used inside electric vehicle motors, wind turbines, and precision-guided defence systems. Lithium, cobalt, nickel, manganese, and graphite are the core inputs for the batteries powering EVs and grid storage. Gallium, germanium, and other critical minerals are essential to semiconductors, microchips, and LEDs. Others such as titanium, beryllium, and tantalum go into fighter jets, submarines, and satellites. 

Considering the importance of new-age technology, the urgency behind the language of the summit is not abstract. India imports nearly 93 per cent of its rare earth magnets from China. After Beijing restricted the export of rare earths, the vulnerability of supply........

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