Japan's Sojitz begins importing heavy rare earths from Australia

TOKYO, Oct 30 (Reuters) - Japan's Sojitz 2768.T has begun importing heavy rare earths from Australia's Lynas Rare Earths LYC.AX, it said on
Thursday, the first such imports produced from Australian ore separated and refined in Malaysia.

The move aims to help Japan secure supplies of key materials for electric vehicles and solar panels from sources other than China, which dominates the market.

As Beijing tightens export controls on critical minerals, Japan, the United States, and their allies have been working to build supply chains outside China.

"We will continue promoting diversification of the rare earth supply chain and contribute to a stable supply of critical materials," Sojitz said in a statement on Wednesday, but declined to disclose import volumes or prices.

This week, U.S. President Donald Trump and Japan Prime Minister Sanae Takaichi signed a framework agreement to secure the supply of critical minerals and rare earths through mining and processing.

Since 2011, when Sojitz signed an exclusive sales deal with Lynas for light rare earths for the Japanese market, it has made investments and provided financing to the latter.

In 2023, it secured supplies of the heavy rare earths dysprosium and terbium, used in neodymium magnets.