India to Start Indigenous Magnet Production in 2 Years: Hanif Qureshi

India expected to start domestic production of permanent magnets within the next two years as the country looks to reduce dependence on imports, according to Hanif Qureshi, additional secretary at Ministry of Heavy Industries. 

“We hope that in the next two years, there would be indigenous production of permanent magnets,” Qureshi said, while speaking at the 5th Global Electrification Mobility Summit on Tueaday.

His comments come as the government recently launched a Rs 7,280 crore to support local manufacturing of rare earth and permanent magnets used in electric vehicles and other applications.

The scheme tarhets to set up manufacturing capacity of 6,000 metric tons per annum of rare earth permanent magnets through integrated facilities that will convert rare earth oxides to metals, metals to alloys, and alloys to finished products.

India’s automobile industry has faced significant uncertainty in recent past due to supply risks and price volatility linked to Chinese magnet imports. The dependence on China for magnets is seen as a strategic weakness, especially as EV adoption accelerates and demand for magnets rises.

Qureshi said supply chain resilience has become a key priority as India positions itself as a major manufacturing hub for automobiles and electric vehicles. He added that recent steps, including timeline extensions for localisation requirements, were meant to give industry time to adjust and expand capacity.

Permanent magnets are a critical component in electric motors used in EVs, wind turbines and industrial equipment. India currently imports most of its requirement, leaving manufacturers exposed to external shocks.