Tata Motors Navigates China’s Rare-Earth Curbs with Caution

Tata Motors, the parent company of luxury brand Jaguar Land Rover, remains unfazed by China's rare-earth export restrictions, which have shaken the global auto industry. The restrictions have led to warnings of potential supply shortages, vital for car manufacturing components.

At a recent Mumbai event, CFO PB Balaji stated there is no immediate concern: "Supplies are still coming through," assuring stakeholders that electric vehicle launch plans are proceeding as planned. However, the scenario could change if rare-earth supplies further deteriorate.

While seeking alternative magnet sources and technologies, Tata Motors is also considering reducing or entirely eliminating rare-earth magnets in vehicles, according to Shailesh Chandra, Managing Director. Meanwhile, Jaguar Land Rover aims to mitigate U.S. tariffs through strategic price hikes while opting out of setting up manufacturing facilities in the U.S.

(With inputs from agencies.)