Toyota Tsusho to Build Rare Earth Plant in India

Toyota Tsusho Corporation announced on Wednesday the firm builds rare earth making plant in India to secure stable source of rare earth oxide from rare earth chloride mixtures. The firm starts the construction in early 2011 to start the operation in the year. The firm plans to make around 3,000-4,000 tonnes of products in 2012. The firm secures annual 10,000 tonnes of rare earth including planned source in Vietnam in 2013, which represents around 30% of the domestic requirement.

The firm already established subsidiary, Toyotsu Rare Earths Orissa in October 2009 in Orissa to develop the resource. The firm builds the new plant with annual 10,000 tonnes of treatment capacity through cooperation with local state owned company, Indian Rare Earth and Shin-Etsu Chemical. Shin-Etsu Chemical provides technical support for the new plant and purchases the products.

The raw material is rare earth chloride mixtures, which is byproduct from Indian Rare Earth’s operation to extract uranium and thorium from monazite minerals. The new plant makes oxide containing neodymium, cerium and lanthanum.

Toyota Tsusho plans to secure annual 7,000 tonnes level of rare earth in Vietnam in 2013. The firm tries to develop the new sources other than China for stable supply chain.

Japanese rare earth import decreased by 82% to 97 tonnes in October from a year earlier. The import decreased by 87% to around 70 tonnes from China. Vietnam increases the presence as new source of rare earth. Japanese rare earth import from Vietnam increased by 63% to 411 tonnes in January-October from same period of 2009.