Japan working on reducing reliance on China's rare earths amid export ban

We visited a factory in Saitama Prefecture.

S/ Yamada Hiroshi, President, Sanshin Kinzoku Kogyo / These are heat-resistant magnets. They are neodymium magnets containing heavy rare earth elements.

S/ Reporter / These contain rare earths?

S/ Yamada Hiroshi, President, Sanshin Kinzoku Kogyo / Yes, this one has dysprosium.

The company manufactures magnetic components used in a wide range of products like cars and smartphones, and rare earth minerals are indispensable.

It uses rare earths imported from China, but the country imposed an export ban on shipments to Japan on January 6, and rare earths are among the items affected.

China has exerted pressure in the past as well.

In 2010, a collision occurred off the Senkaku Islands in Okinawa Prefecture between a Japan Coast Guard patrol vessel and a Chinese fishing boat.

After that, exports of rare earths from China to Japan slowed significantly.

The company has learned from that experience.

S/ Yamada Hiroshi, President, Sanshin Kinzoku Kogyo / These are neodymium magnets we have in stock.

The company now maintains sufficient inventory and has taken measures such as expanding procurement sources outside China.

Efforts to reduce reliance on China for rare earths are moving forward through public-private cooperation.

Japan has invested in companies that mine rare earths in Australia, and imports to Japan are now fully underway.

Twenty years ago, nearly 100 percent of Japan’s rare earth imports came from China.

By diversifying supply sources, the figure is now about 60 percent.

But as rare earths from China are inexpensive, challenges remain in terms of cost.

That is why an auto parts maker in Gunma Prefecture is taking action.

S/ Yamazaki Takeshi, Director, Mitsuba / This wiper system includes a motor unit that does not use rare earths, which are usually the key component.

The company developed a motor that does not use rare earths.

By combining multiple inexpensive magnets made from materials that are easier to obtain, it created a motor that achieves output comparable to those using rare earth magnets.

S/ Yamazaki Takeshi, Director, Mitsuba / It’s kind of like taking the best of both worlds, but we wanted to see if we could build a motor with performance equivalent to current models at a lower cost by combining inexpensive magnets.

The idea came about when rare earth exports from China stagnated in 2010.

S/ Yamazaki Takeshi, Director, Mitsuba / The export slowdown caused considerable chaos. In response to the situation, we worked on reducing the amount of rare earth we use. Another pillar was to move away from using rare earths altogether, so we have been developing motors that do not use rare earths.

Currently, about half the motors the company produces switched to models that are free of rare earths.

Whether Japan can accelerate its move away from reliance on China remains to be seen.

Further cooperation between the public and private sectors is essential for progress on the matter.