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Sona Comstar may manufacture rare earth magnets locally, awaits govt incentive schemeThe company said it is likely to apply for the upcoming incentive scheme aimed at boosting local production of rare earth magnets, which are key components in several automotive systems. Shares of Sona BLW Precision Forgings ended 0.44% higher at ₹481.5 on the BSE today (June 30).By Parikshit Luthra   June 30, 2025, 5:39:01 PM IST (Published)1 Min ReadSona Comstar is considering manufacturing rare earth magnets in India, the company told CNBC-TV18. However, the final decision will depend on the incentives offered under a government scheme currently in the works.

The company said it is likely to apply for the upcoming incentive scheme aimed at boosting local production of rare earth magnets, which are key components in several automotive systems.

Sona Comstar, India’s largest manufacturer of traction motors used in electric vehicles, had earlier told CNBC-TV18 that a shortage of rare earth magnets is expected to partially impact the production of these motors.

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Rare earth magnets are also used in speedometers, sensors, steering systems, and other components in internal combustion engine (ICE) vehicles, underlining their critical role in the broader auto industry.

The company is awaiting further details from the government on incentives before taking a final call on investment and production plans.

Shares of Sona BLW Precision Forgings ended 0.44% higher at ₹481.5 on the BSE today (June 30).

ALSO FREAD | Sona Comstar to focus on India, China, Japan, Korea for next growth phase, says Managing Director Vivek SinghContinue Reading(Edited by : Shoma Bhattacharjee)Check out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!TagsSona Comstar