Tag: dysprosium

  • Japan and France Sign Critical Minerals Roadmap as Both Nations Race to Break Free From Chinese Rare Earths Dominance

    Japan and France Sign Critical Minerals Roadmap as Both Nations Race to Break Free From Chinese Rare Earths Dominance

    Japan and France have agreed to deepen cooperation on rare earths supply chains, signing a roadmap during French President Emmanuel Macron’s three-day visit to Tokyo for talks with Prime Minister Sanae Takaichi — the latest in a series of moves by both countries to reduce their exposure to China’s commanding grip on global rare earths production.

    At the heart of the agreement is joint support for Caremag, a rare earths refining project in southern France due to begin operations in late 2026. The plant is backed by Japan’s state-owned Japan Organization for Metals and Energy Security, gas company Iwatani and the French government. Japan is targeting approximately 20% of its future demand for dysprosium and terbium — heavy rare earth oxides used in EV motors, offshore wind turbines and electronic components — from the facility, providing a concrete near-term alternative to Chinese supply.

    The two sides also committed to securing raw material supply chains feeding into Caremag, and a joint statement from Takaichi and Macron is expected to call for broader diversification of rare earth and critical mineral supply away from China. French Finance Minister Roland Lescure was unambiguous on the rationale: “We cannot rely solely on specific countries, especially China.”

    The deal comes at a particularly tense moment in Japan-China relations. In February, Beijing prohibited exports of dual-use items — covering seven rare earths including dysprosium and yttrium — to 20 Japanese entities it said supply Japan’s military, following comments by Takaichi about Taiwan that angered Beijing. The restrictions have reinforced longstanding Japanese concerns about supply chain vulnerability, though analysts note that China’s leverage may be limited. “China is pursuing a strategy of using rare earths as a diplomatic card, and if US-China and Japan-China relations improve, exports could recover quickly,” said Kotaro Shimizu, principal analyst at Mitsubishi UFJ Research and Consulting.

    Japan has been diversifying its rare earths supply since a 2010 diplomatic incident in which China restricted exports to Tokyo, reducing its dependence on Chinese supply from 90% to around 60%. That effort is now accelerating across multiple fronts. Sojitz has a long-standing tie-up with Australia’s Lynas Rare Earths, one of the few Western-scale rare earths producers. Mitsubishi Materials this week agreed to acquire a stake in US-based ReElement, a rare earth recycling company, as Tokyo and Washington formalise an action plan for China alternatives. Japan and the US are also weighing joint development of rare-earth-rich seabed mud deposits near the remote Minamitori Island, and Japan is in talks with India to explore rare earths in the desert state of Rajasthan.

    The two countries also agreed to pursue cooperation in space, with companies from both nations expected to sign memorandums of understanding on twelve joint projects including space debris removal and rocket launches.

  • Torngat Metals Secures Rare Earth Supply Deal with German Magnet Maker VAC

    Torngat Metals Secures Rare Earth Supply Deal with German Magnet Maker VAC

    Montreal-based Torngat Metals has signed a memorandum of understanding (MoU) with German company Vacuumschmelze (VAC) to pursue a long-term supply agreement for rare earth oxides. The non-binding deal was formalised in Berlin on Tuesday, marking a significant step in diversifying the global rare earth supply chain.

    The agreement was signed by Torngat Metals CEO Yves Leduc and VAC CEO Erik Eschen, with the attendance of Canada’s Minister of Energy and Natural Resources Tim Hodgson and Germany’s Minister for Economic Affairs and Energy Katherina Reiche. Both nations have been actively seeking to reduce dependence on China, which currently dominates the global rare earths industry, particularly for technologies such as wind turbines, electric vehicles, and defence systems.