ICRA Warns of Rare Earth Magnet Shortages Impacting Indian Auto Sector by July 2025

Pexels/Mike Bird

India’s automotive industry could face fresh supply chain disruptions by mid-July 2025 due to declining inventories of rare earth magnets, following tightened export restrictions and shipment delays from China, according to rating agency ICRA.

Jitin Makkar, Senior Vice President and Group Head – Corporate Ratings at ICRA, cautioned that the situation echoes the semiconductor shortage of 2021–22, which led to the loss of nearly 100,000 passenger vehicles. “Rare earth magnet inventories are projected to last only until mid-July 2025 for several passenger vehicle and two-wheeler applications,” he said.

Neodymium-iron-boron (NdFeB) magnets, critical for high-performance uses like EV traction motors and power steering systems, are heavily imported – around 85 percent of India’s USD 200 million imports in FY2025 came from China. These magnets make up nearly 30 percent of an electric two-wheeler motor’s cost, with motors priced between INR 8,000 and INR 15,000 depending on specifications.

To counter the supply challenge, Indian OEMs and auto component manufacturers are exploring several alternatives: importing fully assembled motors from China, sending rotors to China for magnet assembly, using substitute materials with similar properties, or switching to rare earth-free motors using electromagnets. However, each option faces significant logistical, regulatory, and engineering hurdles.

While the immediate impact could disrupt production planning, ICRA believes the crisis may also drive innovation and diversification in both materials and supply chains for the Indian auto sector.

Ultraviolette Partners With Cardo Systems, Launches Connected Helmet At EICMA 2025

UV Crossfade

Bengaluru-based electric vehicle company Ultraviolette Automotive has unveiled its product portfolio at the EICMA 2025 motorcycle exhibition. The company also announced a partnership with Cardo Systems to build solutions for Indian and global markets, focusing on safety and connectivity under ‘Phase 1 of its Connected Rider Ecosystem.’

Following the launch and ongoing deliveries of its X-47 Crossover in the country, Ultraviolette is entering the connected riding solutions market with the launch of the 'UV Crossfade' helmet, which features a carbon fibre shell.

The helmet introduces a first-of-its-kind helmet-based motorcycle integration, enabling real-time connectivity with Ultraviolette vehicles. The F77 Mach 2, F77 SuperStreet, and the X-47 Crossover motorcycles will be the first to adopt this innovation, with a phased rollout planned across the portfolio.

By combining Cardo’s mesh network with Ultraviolette’s smart systems, the helmet facilitates real-time rider-to-rider/rider groups and rider-to-vehicle connectivity.

The system uses Dynamic Alert Sequencing (D.A.S) software to read, assess and allocate alerts in real time for the rider. The D.A.S suite dynamically allocates incoming notifications from the motorcycle to the rider’s connected Cardo unit.

The UV Crossfade features a carbon fibre outer shell paired with fibreglass inner layers, resulting in a lightweight build of approximately 1380 grams. The helmet is subject to DoT and ISI certifications and is compliant with the ECE 22.06 global standard. The helmet is priced at INR 19,900.

Narayan Subramaniam, Co-founder & CEO, Ultraviolette Automotive, said, “At Ultraviolette, we aim to make mobility progressively more intelligent through the seamless integration of technology and design. We don’t just build vehicles, we craft experiences that elevate and redefine the future of mobility. The launch of the UV Crossfade Carbon-fibre helmet represents the beginning of a new era of advanced connect between the rider and the machine to enhance safety, awareness, and the overall ride experience. The UV Crossfade helmet not only enhances safety with uncompromising material engineering but can also communicates with the Ultraviolette motorcycles including giving the rider real time alerts from the UV Hypersense radar systems on the X-47. Our partnership with Cardo Systems is an important part of this journey, bringing advanced communication technology into our connected rider ecosystem. At EICMA, we also showcased our comprehensive global product portfolio including motorcycles and scooters; the X-47, the world’s first motorcycle with radar as standard and our upcoming products, the Tesseract and Shockwave. Together, these exemplify Ultraviolette’s commitment to pushing the boundaries of performance, technology, and design, redefining the future of mobility, today.”

Shachar Harari, VP Business Development at Cardo Systems, said, “Our cooperation with Ultraviolette brings a new dimension of connectivity to the world of motorcycles enabling them to interact directly with the Cardo unit, opening a whole new field of opportunities with Blind Spot Detection, Status Alerts and other Advanced Rider Assistance System, featuring the natural next steps.”

Solid Power Partners Samsung SDI And BMW On Solid-State Battery Development

Solid Power

Solid Power, Inc., a U.S.-based developer of solid-state battery (ASSB) technology, has announced a collaboration with Samsung SDI and BMW to pursue the development and validation of a demonstration vehicle powered by ASSB technology.

The collaboration is a key step towards the commercialisation of ASSB technology, leveraging the expertise of the three companies. Under the arrangement, Solid Power will supply its sulphide-based solid electrolyte to Samsung SDI, which will then integrate it into cells. These cells will be evaluated based on performance parameters agreed upon with BMW. The ultimate goal is to develop and supply ASSB cells for integration into a demonstration vehicle.

John Van Scoter, President and CEO, Solid Power, said, “We are excited to partner with Samsung SDI and BMW to progress the development of all-solid-state batteries. Our solid electrolyte technology is designed for stability and conductivity, and by working closely with global leaders in automotive and battery innovation, we strive to bring ASSB technology closer to widespread adoption.”

Martin Schuster, Vice-President Battery Cell and Cell Module, BMW Group, said, “With Samsung SDI joining our partnership with Solid Power, we gain significant momentum on our path advancing the development of new battery cell technologies. This global collaboration is another proof point of our overarching goal: to be always in a position to offer our customers state of the art battery technology.”

Stella Joo-Young Go, Executive Vice-President of ASB Commercialisation Team at Samsung SDI, said, "Technological competitiveness in batteries would ultimately lead to innovation in electric vehicles. Samsung SDI will work closely with strategic partners such as BMW and Solid Power to take the lead in commercialisation of ASSB.”

ASSB cells are said to have the potential to offer improved energy density, battery life and safety performance by replacing liquid electrolytes with solid materials. The collaboration supports Solid Power’s objective to manufacture and sell electrolyte to Tier 1 battery manufacturers and automotive OEMs.

Ather Rizta Gets Kannada Language Option For Dashboard Interface

Ather Rizta - Kannada

Ather Energy has begun rolling out multi-language dashboard support for its Rizta scooter, enhancing accessibility for a wider audience in India.

The multi-language interface, first announced for the Rizta, will eventually support eight regional languages: Hindi, Marathi, Gujarati, Bengali, Tamil, Telugu, Malayalam and Kannada. The rollout commenced with Hindi, followed by Kannada, with the remaining languages set for introduction in the coming months.

Swapnil Jain, CTO & Co-founder, Ather Energy, said: “Karnataka has been home for us since the beginning. It’s where much of Ather was built, our teams, and our early community. In a state where culture and language are deeply rooted, adding Kannada to the Rizta Z dashboard felt like a natural step to make the experience more personal and accessible for our riders here. As technology becomes part of daily life, it should also feel familiar and easy to use, that’s exactly what this update aims to do.”

The Rizta, Ather’s first family scooter, is available in two models and four variants: Rizta S and Rizta Z. The variants offer an IDC range of 123 km and 159 km. The scooter features a large seat and a storage space of 56-litre, including a 34-litre under-seat capacity and an optional 22-litre frunk accessory.

Safety features include SkidControl, Fall Safe, Emergency Stop Signal (ESS) and Tow & Theft Alerts. The Rizta has found a strong connection with riders, crossing 100,000 unit sales in June of this year.

Hindustan Zinc Drives Smart Mining With IIoT Fleet Intelligence

Hindustan Zinc

Hindustan Zinc, a global integrated zinc producer, is advancing its mining strategy with a fleet intelligence system powered by Industrial Internet of Things (IIoT). Through monitoring of Heavy Earth Moving Machinery, the company is capturing real-time data on equipment uptime, reliability and energy consumption to optimise operations, enhance machine lifespan and elevate productivity.

The data-driven approach has led to measurable improvements across equipment categories over the last three fiscal years FY2024 to FY2026:

  • Jumbo drilling machines achieved a 28 percent improvement in reliability and uptime.
  • Load Haul Dumpers recorded a 24 percent rise in uptime.
  • Low-Profile Dump Trucks showed an improvement of over 27 percent.
  • Efficiency has also improved, seen in the Power Pack to Percussion ratio for Jumbo machines, which decreased from 3.8 to 3.4, indicating better energy use for equivalent output.

This transformation is managed by Hindustan Zinc’s Collaboration Centre, which serves as the central nerve for real-time data integration and decision-making. Data from sensors and IIoT devices, deployed in collaboration with Machine Max (a Vedanta Spark startup partner), is processed and analysed into insights for both frontline teams and strategic leaders.

Arun Misra, CEO, Hindustan Zinc, said, “With stronger data capture, cutting-edge IIoT integration and advanced analytics, we’re moving from reactive to predictive operations. The optimisation of our heavy earth-moving fleet has been a game-changer for our uptime and efficiency. This project is a clear step towards smarter, real-time decision-making and building a high-performance, energy-efficient mining ecosystem.”

The digital initiative is integral to the company’s strategy for automation, smart mining and sustainability. Hindustan Zinc is also deploying other technologies, including an AI-powered camera surveillance system that has resulted in an almost 50 percent reduction in manual intervention for safety and compliance. The company is currently working with over 20 technology startups on more than 50 projects through Vedanta Spark.