India’s Rare Earth Elements (REE) Strategy & Critical Minerals Security (2025)

6️⃣0️⃣ India’s Rare Earth Elements (REE) Strategy & Critical Minerals Security (2025) ⛏️🔋

🔹 Introduction

Rare Earth Elements (REEs) and critical minerals are essential for defense, renewable energy, semiconductors, and electric vehicles (EVs). India is ramping up efforts to secure REE supply chains, increase domestic production, and reduce dependence on China, which currently dominates the global market.

With new mining policies, global partnerships, and strategic stockpiling initiatives, India is positioning itself as a major player in the critical minerals sector while ensuring sustainable and ethical mining practices.

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🔹 Key Developments in India’s REE & Critical Minerals Strategy (2025)

✅ Expansion of Domestic Rare Earth Mining & Processing ⛏️

• New rare earth mines identified in Andhra Pradesh, Tamil Nadu, and Odisha.
• Processing plants set up to refine REEs like Neodymium, Dysprosium, and Lithium.
• Private sector partnerships encouraged to boost domestic production.

✅ Strategic Stockpiling & Global Supply Chain Diversification 🌍

• India signs rare earth agreements with Australia, US, and Japan.
• Government establishes a National Critical Minerals Reserve for energy security.
• Efforts to reduce dependence on Chinese rare earth imports.

✅ Rare Earths in Electric Vehicles & Renewable Energy 🚗🔋

• Lithium reserves in Karnataka and Jammu explored for battery production.
• REEs used in permanent magnets for wind turbines and solar panels.
• Government incentives for REE-based energy storage technologies.

✅ Environmental & Sustainable Mining Practices 🌱

• New green mining regulations to reduce ecological impact.
• AI-powered mineral exploration to improve efficiency.
• Stricter norms on waste disposal and rare earth refining emissions.

✅ Challenges in India’s Rare Earth Strategy ⚠️

• High cost and environmental risks of REE extraction.
• Competition with China’s dominant position in the global REE market.
• Limited expertise in advanced REE refining and processing technologies.

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📌 Advanced 3-Statement-Based MCQs on India’s Rare Earth Elements (REE) Strategy (2025)

1️⃣ Consider the following statements regarding India’s rare earth mining initiatives:

1. India has discovered new rare earth element deposits in Andhra Pradesh and Tamil Nadu.
2. Private sector participation is now allowed in rare earth mining to boost production.
3. India has become the world’s largest producer of rare earth elements, surpassing China.

Which of the above statements is/are correct?
A) 1 and 2 only
B) 2 and 3 only
C) 1 and 3 only
D) 1, 2, and 3

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2️⃣ Consider the following statements regarding India’s rare earth trade agreements:

1. India has signed critical mineral agreements with Australia, the US, and Japan.
2. The agreements aim to reduce India’s dependence on Chinese rare earth imports.
3. India has banned all rare earth exports to maintain domestic supply security.

Which of the above statements is/are correct?
A) 1 and 2 only
B) 2 and 3 only
C) 1 and 3 only
D) 1, 2, and 3

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3️⃣ Consider the following statements regarding rare earths in India’s renewable energy and EV sector:

1. Rare earth elements are used in the production of EV batteries and wind turbine magnets.
2. India has discovered lithium reserves in Jammu and Karnataka for battery production.
3. India’s renewable energy sector does not require rare earth elements for infrastructure development.

Which of the above statements is/are correct?
A) 1 and 2 only
B) 2 and 3 only
C) 1 and 3 only
D) 1, 2, and 3

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4️⃣ Consider the following statements regarding environmental concerns in rare earth mining:

1. Rare earth mining is associated with high environmental risks, including radioactive waste.
2. AI-powered exploration techniques can help minimize ecological damage.
3. India has implemented zero-waste rare earth processing technology to eliminate pollution.

Which of the above statements is/are correct?
A) 1 and 2 only
B) 2 and 3 only
C) 1 and 3 only
D) 1, 2, and 3

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5️⃣ Consider the following statements regarding India’s challenges in the rare earth sector:

1. China currently dominates the global rare earth supply chain, posing economic and strategic challenges for India.
2. India lacks sufficient expertise in rare earth refining and processing compared to global leaders.
3. India has completely eliminated its dependence on imported rare earth elements.

Which of the above statements is/are correct?
A) 1 and 2 only
B) 2 and 3 only
C) 1 and 3 only
D) 1, 2, and 3

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🚀 Conclusion

India’s rare earth strategy is crucial for energy security, EVs, and defense manufacturing, but mining challenges, environmental risks, and reliance on China remain major hurdles. With new domestic exploration projects, global partnerships, and sustainable mining policies, India aims to become self-reliant in critical minerals.