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Lohum opens ₹500 crore rare-earth magnet plant

11/11/2025, 8:08:30 PM | China | India

Aerospace

Lohum opened a ₹500 crore, 2,000 tpa integrated rare-earth magnet plant in Uttar Pradesh to reduce imports and supply domestic demand.

Lohum has commissioned an integrated rare earth element (REE) magnet production facility in Uttar Pradesh with a ₹500 crore investment.
The plant will refine and produce both light and heavy REEs and has an initial capacity of 2,000 metric tonnes per year, targeting components used in electric vehicles, renewable energy, aerospace, defence and advanced electronics.
Announced at Lohum Day 2025 by Amitabh Kant, the facility is positioned to plug a key gap in India’s magnet value chain. Founder and CEO Rajat Verma said domestic production will reduce import dependence and build a more resilient, sustainable supply chain.
India’s magnet demand rose to about 4,000 tonnes in 2025 and is forecast to reach roughly 15,000 tonnes by 2030. Despite holding around 7% of global REE resources, India imports more than 90% of its rare-earth magnets, largely from China. Lohum expects the plant to meet up to 20% of national magnet demand by 2027.
The project aligns with national priorities such as the National Critical Mineral Mission, the Extended Circular Mineral Strategy and the Ministry of Heavy Industries’ ₹7,300 crore magnet production scheme. Lohum already operates nine facilities and supplies multiple critical battery and metal products globally.

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