Elcina estimates that the rare earth metal-based magnets account for around 5-7 per cent of the bill of materials and India imports nearly 100 per cent of its NdFeB magnet requirement with China accounting for 90 per cent of the total imports.
The industry body said that prices of China-origin magnets have increased due to tightened supply and administrative bootlenecks and other sources such as Japan, EU and the US are 2-3 times more expensive and also lack sufficient capacity to meet India’s rising demand.
Electronics manufacturing services firm Videotex, which produces televisions, said rare earth-based magnets are critical in TV manufacturing, particularly for speakers, due to their superior performance and compact size.
“As the country remains heavily reliant on imports for these components, this presents a clear challenge. However, the specific impact on the television manufacturing segment is expected to be relatively limited. We are working closely with our suppliers to ensure adequate stock for the upcoming season, thereby maintaining production continuity,” Videotex Director Arjun Bajaj said.
