French official outlines rare earth diversification goals

Benjamin Gallezot, the French interministerial delegate for mineral and strategic metal supplies, stated during a mining conference in Sydney, Australia, on October 28, 2026, that significant diversification of rare earths outside of China could be achieved within three to five years. The issue directly concerns automobile manufacturers, equipment suppliers, wind turbine producers, and defense industries based in France.

Diversification depends on investments

According to an interview reported by Reuters, Gallezot estimates that the acceleration of projects already underway in several countries could allow for diversification of suppliers by this deadline. This industrial outlook is conditional on the realization of investments and is not a guaranteed schedule for exiting dependence.

Rare earths and their industrial uses

Rare earths consist of metals used in high-performance permanent magnets, which are used in certain electric motors, power generation equipment, electronics, and military systems. The value chain includes several distinct stages: mineral extraction, separation and refining, alloy production, and magnet manufacturing. China accounts for up to 90% of the production of certain categories of specialized magnets.

Vulnerability to Chinese export restrictions

Chinese export restrictions demonstrated in 2025 highlighted the vulnerability of several industrial sectors, notably the automotive industry. The multiplication of mines and refining capacities can reduce this exposure, but Gallezot identifies magnet manufacturing as a potential bottleneck.

Challenges beyond raw material access

Having access to separated rare earth oxides is not sufficient to secure the delivery of finished components. Industrialists must also be able to contract volumes, obtain qualities compatible with their processes, and develop intermediate transformation capacities.

Solvay launches rare earth production

In La Rochelle, the Belgian group Solvay has announced the launch of commercial production of rare earths intended for permanent magnets. Its industrial statement presents this expansion as a step toward the goal of meeting 30% of the European demand for rare earths suitable for magnets by 2030.

Carester's recycling and separation project

In Lacq, in the Pyrénées-Atlantiques, Carester is developing the Caremag plant, dedicated to the recycling of magnets and the separation of rare earths from mineral concentrates. The company has announced funding of 216 million euros, including commitments from Japanese partners and French public support.

Global diversification efforts

The international dimension is essential: Australia, Japan, Brazil, India, and the United States are also among the countries where diversification projects are progressing. France therefore seeks to strengthen its own capacities while relying on supply and transformation partnerships with other economies.

G7 aims to reduce rare earth dependence

The declaration adopted at the G7 summit in Évian on June 17, 2026, sets a collective goal: to reduce dependence on a single external supplier outside the G7 and its partner countries to under 60% by 2030 for rare earths and permanent magnets, and aim for 50% as soon as possible.

Expected benefits and uncertainties

For the French industry, the expected benefit would be first and foremost greater resilience against commercial restrictions and delivery interruptions. The development of alternative suppliers could also change negotiation conditions and industrial location choices. The effects on prices remain uncertain: building facilities, operating them at a commercial scale, and securing contracts require capital and time.

Key steps for achieving diversification

The three to five year timeframe mentioned in Sydney gives industrialists a perspective. The decisive steps will now be the commissioning of announced capacities, material qualification, and the scaling up of magnet production capable of using these new supplies.