Japanese manufacturers flag rare-earth supply as major management challenge
A survey shows roughly four-fifths of Japanese producers consider obtaining rare earths a pressing issue amid tighter Chinese export rules.
In a June questionnaire of 400 senior managers at Japanese material and parts manufacturers, Resilire Inc. discovered that 80% label rare-earth procurement as a top-priority challenge or operational hazard. About 45% highlighted heavy dependence on Chinese sources as a concern, while over half are already experiencing shortages of elements such as neodymium and samarium. The poll revealed that 43.8% see the issue as a management challenge and 36.2% as a business risk.
Looking ahead, 51.7% anticipate a further decline in supply conditions. The backdrop includes tightened Chinese export controls after Prime Minister Sanae Takaichi’s remarks on Taiwan and broader geopolitical friction, prompting Japanese firms and the government to seek alternative suppliers and stockpiles.
Why it matters
Supply constraints on rare earths could disrupt Japan's high-tech manufacturing and broader economy.
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