Source: The Times of India

China Youth Daily, Beijing, October 16th (Reporter Wang Zilu, Young Reporter Yuan Ye) According to media reports from Indian Economic Times and Business Standard, India has made assurances to China's requirements: Rare earth materials imported from China will no longer be exported to the United States. Indian media analysis suggests that this move highlights India's high dependence on China's rare earth industry, and reflects its delicate stance in maintaining balance between the US and China.

According to Indian industry sources, several companies have started submitting end-user certificates, stating that heavy rare earth permanent magnets purchased from China are used only for domestic production in India. This move is a response to recent compliance requirements proposed by China. Indian media reported that China has required Indian companies to follow export control standards similar to those in the Wassenaar Arrangement, ensuring that sensitive dual-use technologies and materials are not transferred to third countries.

Indian analysts said that this move by China is one of its strategies to consolidate global dominance in the rare earth supply chain. China produces nearly 90% of the world's heavy rare earth permanent magnets and almost monopolizes the rare earth refining and processing capabilities—this industrial advantage has become one of China's most significant "strategic levers" in the Sino-US competition.

For India, the depth of its reliance on China has never been so profound. Its emerging electric vehicle and renewable energy industries rely heavily on the stable supply of rare earth magnets, especially key elements such as dysprosium and terbium, which are crucial for electric vehicle motors, wind turbines, and efficient electronic devices. Data shows that India imported approximately 870 tons of rare earth magnets in the fiscal year 2024-2025, with a total value exceeding 3 billion rupees.

"This dependence is absolute," said an Indian electric vehicle company executive candidly. "In the short term, no country can replace China's supply chain—whether it's Australia, the United States, or India's own mineral resources yet to be scaled up, none can meet the demand."

The Financial Times reported that after the Shanghai Cooperation Organization summit in September, China resumed the export of light rare earth magnets to India, but the shipment of heavy rare earth permanent magnets is still waiting for formal usage assurance. Recently, the Chinese Ministry of Commerce has expanded the scope of rare earth exports control, emphasizing that this move is for national security considerations, to prevent "use in sensitive areas such as military purposes."

The Financial Times said that the Indian government has not publicly responded to China's requirements, and sources said that both sides are quietly negotiating, hoping to avoid touching any international trade sensitive red lines; this approach reflects India's pragmatic strategy: on one hand, ensuring the uninterrupted supply of critical materials, and on the other hand, maintaining its strategic autonomy, not getting involved in the geopolitical competition between the US and China.

Some Indian officials privately admitted that at least in the short term, the country's manufacturing cannot do without China's supply support. "We cannot bear the risk of supply disruption in key areas," said a government advisor.

In response to U.S. Treasury Secretary Bensons' recent statement that China's export controls on rare earths are "against the world," the Chinese Foreign Ministry spokesperson Lin Jian refuted it during the regular press conference on the afternoon of the 16th, emphasizing that China's actions aim to better safeguard world peace and regional stability. Lin Jian stated that China's export control measures conform to international practices, aiming to better maintain world peace and regional stability and fulfill international obligations such as non-proliferation.

Source: China Youth Daily Client

Original: https://www.toutiao.com/article/7561778951615332899/

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