Current Affairs - International - Discussion

India decided to suspend its rare earth exports specifically to Japan, which had a long-standing bilateral agreement through Toyotsu Rare Earths India, a subsidiary of Toyota Tsusho. The suspension comes as India aims to safeguard its critical resources, especially Neodymium used in EV magnets, and develop its own rare earth processing industry amid rising domestic demand and global uncertainties triggered by China's export restrictions. Despite the friendly diplomatic ties, India’s priority is to reduce its reliance on foreign supply chains and bolster self-sufficiency, making Japan the directly affected country in this policy shift.