Rs 1,250 Cr Rare-earth Permanent Magnet Facility To Come Up In Kakinada
The facility is engineered to achieve a massive annual production capacity of 600 tonnes of high-grade permanent magnets, heavily serving the rapidly growing electric vehicle (EV), renewable energy, and advanced manufacturing sectors.
By : PTI
Update: 2026-10-14 10:05 GMT
New Delhi: Advanced materials company Nexon Geochem on Wednesday said that a rare-earth permanent magnet facility will be set up in Andhra Pradesh with an investment of Rs 1,250 crore.
A Memorandum of Understanding (MoU) was signed with the AP Economic Development Board to establish the integrated sintered NdFeB rare-earth permanent magnet manufacturing facility in Thondangi, Kakinada district,Nexon Geochem stated.
The development comes at a time when India is seeking to build a domestic ecosystem for critical minerals and reduce its dependence on imported rare-earth permanent magnets.
The facility to be set up in partnership with the APEDB will produce sintered neodymium-iron-boron (NdFeB) permanent magnets, which are critical components for electric vehicles, wind turbines, industrial automation and defence applications, the company said. Nexon Geochem total investment of Rs 1,250 crore will be across two strategic phases--Rs 750 crore dedicated to the first phase and Rs 500 crore allocated for the second phase.
The facility is engineered to achieve a massive annual production capacity of 600 tonnes of high-grade permanent magnets, heavily serving the rapidly growing electric vehicle (EV), renewable energy, and advanced manufacturing sectors.
" Our vision is to establish an integrated NdFeB magnet manufacturing ecosystem that strengthens supply-chain security, reduces import dependence, and supports India's ambitions in electric mobility, renewable energy, and advanced manufacturing," Praveen Kumar Choudhary, Director, Nexon Geochem Pvt Ltd said.
The Hyderabad-headquartered company specialises in high-tech material manufacturing and advanced industrial engineering. The company focuses on localisation and import substitution, developing critical, high-value components that safeguard supply chain integrity for India's defence, green energy, and automotive sectors.