Overview

• Beijing has eased or removed restrictions on rare-earth magnet exports to India, with Indian media and officials describing immediate relief for EV, electronics and defence supply chains.
• Chinese Foreign Minister Wang Yi conveyed assurances to S. Jaishankar on resuming supplies of fertilisers, rare earths and tunnel-boring machines, following months of curbs that had snarled licensing and shipments.
• Automakers that warned of shutdowns during the squeeze now expect gradual stabilization; Maruti Suzuki cut its e-Vitara targets and Bajaj Auto flagged a potential ‘zero month’ for EV output before the easing.
• Trade data show a broader rebound in July magnet exports from China, with shipments to India rising 143% month-on-month, even as analysts caution that normalization will take time.
• GTRI flagged a record $100 billion trade deficit and heavy dependence on Chinese inputs, pressing for domestic processing, PLI-backed manufacturing, overseas sourcing via KABIL and momentum from the Singrauli rare earth discovery.