Rare Earth Elements (REEs) have quietly become one of the most powerful tools in global geopolitics. While the world watches the US–China trade war, sanctions, and tech rivalry, the real leverage lies in who controls the supply of rare earth minerals.
For UPSC aspirants, this topic connects geography, economy, science & tech, and international relations in one single theme.

Contents
- 0.1 What Are Rare Earth Elements?
- 0.2 Why Are They Called “Rare” If They Are Abundant?
- 0.3 Why Rare Earth Elements Are Strategically Important
- 0.4 Global Distribution of Rare Earth Elements
- 0.5 Why India Still Imports Rare Earths Despite Huge Reserves
- 0.6 US–China Trade War and Rare Earth Geopolitics
- 0.7 India’s Strategy on Rare Earth Elements
- 0.8 UPSC Takeaway
- 0.9 Check out our GS Geography Course – Click Here
- 1 FAQs
What Are Rare Earth Elements?
Rare Earth Elements are a group of 17 metallic elements:
- 15 Lanthanides
- Scandium
- Yttrium
They are classified into:
Light Rare Earth Elements (LREEs)
Examples: Lanthanum, Cerium, Neodymium
Heavy Rare Earth Elements (HREEs)
Examples: Dysprosium, Terbium, Europium
This classification is important because China dominates heavy rare earth supply, which are critical for defence and green technologies.
Why Are They Called “Rare” If They Are Abundant?
They are not rare in occurrence, but rare in economically viable concentration.
They are called rare because:
- They are rarely found in high concentration that makes mining profitable
- Extraction is technologically complex and expensive
- Requires advanced separation technology
- Generates radioactive waste
Why Rare Earth Elements Are Strategically Important
Applications (UPSC Favourite)
Electronics: Smartphones, TVs, computer screens
Medical: MRI machines, X-ray contrast agents, cancer therapy
Defence: Radar, lasers, avionics, precision-guided munitions
Green Technology: Wind turbines, EV motors, lithium-ion batteries
Without rare earths, the modern digital and green economy cannot function.
Global Distribution of Rare Earth Elements
China
- Largest producer and processor
- Controls heavy rare earth supply chain
- Uses export restrictions as a geopolitical tool
Brazil
- ~21 million metric tonnes
USA
- ~1.9 million metric tonnes
India
- ~6.9 million metric tonnes (3rd largest reserves)
Major Indian States
- Andhra Pradesh
- Odisha
- Karnataka
- Kerala (Monazite sands – principal source)
Why India Still Imports Rare Earths Despite Huge Reserves
Key Constraints
- Light REE dominance – India mostly has LREEs, China dominates HREEs
- Low private sector participation
- Less than 1% share in global production
- Technology and infrastructure gap
- Regulatory hurdles
- Monazite contains thorium (radioactive)
- Strict environmental and safety norms
US–China Trade War and Rare Earth Geopolitics
China has repeatedly used rare earth exports as a strategic weapon against the US and allies.
This has triggered:
- Supply chain diversification
- Strategic mineral diplomacy
- India–Australia–USA critical mineral partnerships
Rare Earths are now treated as national security assets.
India’s Strategy on Rare Earth Elements
Key Government Initiatives
- Critical Minerals status under Mines and Minerals Act, 1957
- National Critical Minerals Mission (2025)
- Strategic partnerships with Australia and USA
- Focus on domestic processing and technology development
UPSC Takeaway
Rare Earth Elements are not just minerals.
They are:
- Geopolitical weapons
- Economic growth drivers
- National security assets
- Green energy enablers
Whoever controls rare earths controls the future.
Check out our GS Geography Course – Click Here
FAQs
- #RareEarthElementsUPSC: Why are rare earth elements strategically important for India?
- #CriticalMineralsIndia: Why has India classified rare earth elements as critical minerals?
- #USChinaTradeWar: How does the US–China trade war impact rare earth supply chains?
- #IndiaRareEarthReserves: Where are rare earth elements found in India and why is production low?
