Cabinet Approves Rare-Earth Magnet Manufacturing Scheme

Consumer ElectronicsNov 26, 2025

India

The Union Cabinet approved a Scheme to Promote Manufacturing of Sintered Rare-Earth Permanent Magnets with a financial outlay of 7,280 crore rupees to establish 6,000 metric tonnes per annum of integrated production capacity.\n\nThe programme targets end-to-end facilities converting rare-earth oxides to metals, metals to alloys and alloys to sintered permanent magnets, supporting sectors such as electric vehicles, renewable energy, electronics, aerospace and defence. Officials say domestic consumption of these magnets is set to double by 2030, and current needs are largely met through imports. The seven-year scheme includes a two-year gestation period and envisages allocating capacity to five beneficiaries via global competitive bidding, aiming to create jobs and strengthen supply-chain self-reliance while contributing to Net Zero goals.\n\nSeparately, the Cabinet cleared Pune Metro Phase-2 Lines 4 and 4A at an estimated cost of about 9,857 crore rupees, to be completed within five years and expanding the network beyond 100 km. Two rail projects worth 2,781 crore rupees were also approved: the Devbhumi Dwarka (Okha)–Kanalus line (1,457 crore) and the Badlapur–Karjat third and fourth line project (1,324 crore), together adding roughly 224 km and improving pilgrimage and Mumbai suburban connectivity.