Economy & Markets

India's strategic push to secure high-performance permanent magnets, particularly Neodymium-Iron-Neodymium Iron Boron (NdFeB) essential for electric vehicles and semiconductor manufacturing, faces scrutiny over its reliance on resource acquisition rather than industrial processing. Following China's April 2025 export controls which exposed global supply chain vulnerabilities, the Indian Union Cabinet approved the National Critical Mineral Mission with a ₹34,300 crore outlay and a dedicated Rare Earth Permanent Magnet scheme worth ₹7,280 crore targeting 6,000 metric tonnes per annum of capacity. However, analysts highlight a critical gap in mid-stream capabilities, specifically the conversion of rare earth oxides into finished magnets, noting that domestic statistical data underreports the market size at ₹750 crore while imports are significantly higher. Experts propose an Integrated Techno-Dimensional Analysis Economic Mapping framework to identify technological dependencies and recommend tying incentives to certified output at separation and alloying stages to ensure genuine self-reliance beyond mere import substitution