India is exploring ways to secure rare earth minerals from Myanmar with the help of rebel group Kachin Independence Army (KIA), news agency Reuters reported. The move comes as New Delhi looks for alternatives to China, which dominates the global supply chain of these critical resources.
India’s Ministry of Mines has asked both state-run and private companies to collect and transport rare earth samples from KIA-controlled mines in northeastern Myanmar. The state-owned Indian Rare Earths Limited (IREL) and private firm Midwest Advanced Materials, which last year received government funding for rare earth magnet manufacturing, are among the companies involved in these discussions, the news report mentioned.
The aim is to test these samples in Indian laboratories to check if they contain sufficient heavy rare earths, which are essential for producing magnets used in electric vehicles and high-tech equipment.
Rare engagement with rebels
The Ministry of Mines made its request during an online meeting in July, which was attended by IREL, Midwest, and at least one other company. This represents an unusual case of India working directly with a non-state armed group, the news report quoted a source as saying.
Reuters said that a KIA official confirmed that the group has begun collecting samples for India. The rebels also agreed to study whether bulk exports of rare earths to India would be feasible.
Why rare earths matter to India
While rare earths are not scarce in nature, China almost completely controls the processing technology. Beijing has tightened export restrictions this year to strengthen its geopolitical influence, especially amid trade tensions with the US.
Last month, Prime Minister Narendra Modi said that he discussed rare earth mining with Myanmar’s junta leader Min Aung Hlaing during a meeting in China. However, no official deal was announced.
India is also working to build its own processing capacity. IREL has been seeking partnerships with Japanese and Korean companies to manufacture rare earth magnets commercially.
Competing with China
China has long engaged with the KIA for rare earth supplies, but tensions have grown due to the rebels’ battles with junta forces in key regions.
A spokesperson for China’s Foreign Ministry told Reuters that Beijing was unaware of any possible KIA-India cooperation but stressed that “all relevant parties in northern Myanmar appreciate and thank China for its constructive role in maintaining peace and stability in the region”.
KIA’s role in Myanmar conflict
The KIA, founded in 1961, is one of Myanmar’s most influential armed groups. After the military coup in 2021, the rebels became a strong force resisting the junta. Last year, they captured the Chipwe-Pangwa mining belt in Kachin state, which supplies most of the world’s heavy rare earths, including dysprosium and terbium.
Although the KIA continues to sell rare earths to China, disagreements have emerged, pushing the group to increase engagement with India.
A long-term partnership?
Officials in New Delhi are considering a long-term deal with the KIA to build a supply chain for rare earths. But transporting large volumes of minerals across difficult mountainous terrain to India could be a major obstacle.
Currently, most of the minerals are exported to China through existing road networks. IREL has discussed possible arrangements but prefers that private companies handle the transport.
Experts warn that even if India secures supplies, it still lacks large-scale facilities to process the minerals without Chinese expertise, the news report mentioned.
