In touch with China over rare earth minerals' supply: MEA

India and China are working to resolve the issue of supply of rare earth metals, which are used in electronics and automobiles.India on Thursday said it was in touch with the Chinese side, seeking predictability in the supply of rare earth metals, which had been put under the export control regime by the Xi Jinping administration since April.

A senior Chinese official is in New Delhi for talks on the matter. After yesterday’s announcement on resumption of supplies of rare earths from China to the US, the logic of supplies remaining suspended for India did not apply, sources said.

According to the Chinese restrictions, a special export licence is needed for certain specific rare earth elements and related magnetic products.

Addressing his weekly briefing today, Ministry of External Affairs (MEA) spokesperson Randhir Jaiswal said, "We are in touch with the Chinese side, both here in Delhi and also in Beijing, to bring predictability in the supply chain for trade, consistent with international practices.”

Jaiswal was asked about India's engagement with China on rare earths, given that it was to an extent impacting the auto industry.

"We have been in touch with the Chinese side. The Chinese ministry of commerce and general administration of customs had in early April announced a decision to implement export controls on certain rare earth-related items," the MEA spokesperson said.

Amid the key supply chain issue, US President Donald Trump on Wednesday confirmed that the US had reached a "deal" with China following intense trade negotiations.

As part of the deal, the US, according to Trump, would get rare earth supplies from China.

Commerce and Industry Minister Piyush Goyal described China's rare earth export restrictions as a global "wake-up call" on Monday, emphasising that India was building alternative supply chains while positioning itself as a trusted partner for international businesses seeking to reduce their dependence on Chinese suppliers.

Goyal had acknowledged that China's export curbs would create short-term challenges for India's automotive and white goods sectors.

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.

Separately, India and Central Asian countries have recently expressed interest in joint exploration of rare earth and critical minerals at the recently held India-Central Asia Dialogue.