Toyota Tsusho Seeks Rare Earth Supply Sources Globally

Toyota Tsusho Corporation, a trading company in Toyota Motor Group, tries to strengthen self procurement of rare earths, such as neodymium used for hybrid car motors. The firm examines supply source cultivation in India, Vietnam and Indonesia. The firm also seeks supply sources of lithium for future.

Automakers recently and rapidly shift to hybrid cars and electric vehicles worldwide. Meanwhile, China accounts for 90% in global rare earth supply. Auto industry is seeking how to procure rare earths stably.Toyota Tsusho established Toyotsu Rare Earth Corporation by acquiring Tokyo headed rare earth trader, Wako Bussan, in December 2008 to raise self procurement rate of rare earths.

At present, Toyota Tsusho is preparing for plant construction in India and cooperative mine development with Vietnamese governmental company. Indian plant will start production in the second half of 2010 and Vietnamese mine in 2011. At the same time, Toyota Tsusho is researching for rare earth collection from tin residue in Indonesia.

The firm also seeks supply sources of lithium, which is used as a main material for lithium ion batteries.