By Admin 
China has provided licenses to some Indian companies to import rare earth minerals. The Ministry of External Affairs gave this information on Thursday (30 October 2025). China’s decision to ease restrictions on the supply of rare earth minerals to India has come at a time when both the countries are making efforts to normalize bilateral relations. The military standoff for more than four years along the Line of Actual Control (LAC) in eastern Ladakh had led to serious tension between the two countries.
China gave license to Indian companies
External Affairs Ministry spokesperson Randhir Jaiswal said, ‘Some Indian companies have received licenses to import rare earth minerals from China.’ However, he did not tell anything in detail about this.
Rare earth minerals are considered important for high-end technology products including electric vehicles (EVs), drones and battery storage. China plays a major role in the supply chain of globally important rare minerals.
China plays a big role in mining of rare earth minerals
China’s contribution in the mining of global rare earth minerals is about 70 percent, due to which its role in the global supply chain of rare earth minerals is very important. China used to export huge quantities of fertilizers to India till 2023. However, Beijing had stopped supplies to many countries last year. It lifted restrictions in June, but did not relax norms to resume exports to India.
Initiative to build better relations between the two countries
China two weeks ago announced new restrictions on the export of technologies and equipment related to rare earth minerals, lithium batteries and rare earth mineral-based superhard materials. China’s decision to grant licenses to Indian companies is being seen as part of overall efforts to improve relations between the two sides.
Over the past few months, both sides have taken several initiatives to rekindle ties, including the resumption of the Kailash Mansarovar Yatra and India issuing tourist visas to Chinese nationals.
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