Japanese Prime Minister Sanae Takaichi declared in February that Japan will become a country that never lacks rare earth elements, elevating the issue to national security priority. The statement follows a government-led research team's successful extraction of rare earth-containing mud from the seabed near Minamitorishima in Japan's easternmost waters. This policy push responds to lessons from 2010, when China's rare earth export restrictions during the Diaoyu Islands dispute exposed Tokyo's supply vulnerability. Despite 15 years of diversification efforts including overseas partnerships, domestic recycling programs, and seabed exploration, Japan's rare earth metal imports from China increased from approximately 50% in 2018 to 63% by the end of 2024, with heavy rare earth dependency remaining at 100%.
Japan Extracts Rare Earth Mud from Minamitorishima Seabed
A government-backed research team successfully extracted rare earth-containing mud from the seabed near Minamitorishima, located in Japan's easternmost maritime territory. The underwater deposits are considered a potential long-term domestic rare earth source if commercial-scale extraction becomes viable. Minamitorishima's surrounding seabed mud is believed to contain significant rare earth reserves, representing a supply option independent of Chinese sources.
JOGMEC Supports Lynas Australia Refinery Expansion
Japan Oil, Gas and Metals National Corporation (JOGMEC) provides long-term support to Australia's Lynas Corporation, assisting the company's refinery expansion in Malaysia and development of a new low-carbon processing line in Kalgoorlie, Australia. Japanese companies have also partnered with France's Imerys to establish a stable European supply chain. Brazil and India mining regions are listed as priority cooperation targets for Japan's future rare earth sourcing.
Japanese Manufacturers Expand Non-Chinese Rare Earth Processing Capacity
Shin-Etsu Chemical, Daido Steel, and Proterial announced expansions of magnet production lines to increase processing capacity for non-Chinese rare earth raw materials. The domestic industry aims to strengthen not only mineral sourcing but also magnet manufacturing and processing capabilities to avoid bottlenecks in China-dominated downstream production stages.
Mitsubishi Electric Launches Air Conditioner Rare Earth Recycling Program
Mitsubishi Electric leads an initiative to recover rare earth elements from discarded household air conditioners. The process involves disassembling outdoor units, extracting compressors, and refining neodymium-containing magnets for reuse in manufacturing. According to estimates, approximately 35% of rare earth requirements for air conditioner production can be met through recycled materials.
Japan's China Rare Earth Dependency Rises to 63% Despite Diversification
As of the end of 2024, Japan's rare earth metal imports from China accounted for 63% of total imports, up from approximately 50% in 2018. Heavy rare earth dependency on China remains at 100%. Japanese scholars note that while China controls rare earth supply, Japan maintains advantages in advanced technology, precision equipment, high-grade materials, and certain manufacturing segments where China relies on Japanese imports. Beijing typically applies ambiguous "dual-use" export controls rather than complete embargoes, creating supply uncertainty without fully severing trade relationships. This approach allows China to exert pressure on Japanese supply chains through selective restrictions, delayed approvals, and item-specific limitations while avoiding damage to its own industries and diplomatic credibility.
FAQ
What did Sanae Takaichi say about Japan's rare earth supply in February?
Sanae Takaichi declared in February that Japan will become a country that never lacks rare earth elements, positioning the issue as a national security priority.
How much does Japan depend on China for rare earth imports?
As of the end of 2024, Japan's rare earth metal imports from China reached 63% of total imports, increasing from approximately 50% in 2018. Heavy rare earth dependency on China remains at 100%.
What is Mitsubishi Electric doing to reduce rare earth dependency?
Mitsubishi Electric leads a program to recover rare earth elements from discarded household air conditioners by disassembling outdoor units, extracting compressors, and refining neodymium magnets for reuse. Approximately 35% of air conditioner manufacturing rare earth needs can be met through recycled materials.
