Tokyo (VNA) – Japan will provide technological support to Malaysia in the field of rare earth refining as part of efforts to diversify supply chains.

According to Nikkei Asia, the project will be funded through Japan’s Official Development Assistance (ODA) programme, marking the first time ODA has been used between the two countries for rare earth mining and refining activities.

Last month, the Japan International Cooperation Agency (JICA) dispatched experts in resource geology and environmental chemistry to Malaysia to conduct preliminary studies.

Officials from both sides are currently holding active discussions on the project’s objectives and other specific details. Under the plan, around 10 Malaysian personnel, including mineral processing specialists, are expected to travel to Japan for training. Japan is also expected to provide environmentally friendly refining technologies.

The Malaysian government estimates that the country holds around 16 million tonnes of rare earth reserves, including neodymium and dysprosium, both of which are essential for manufacturing electric vehicle motors.

VNA