New Delhi, June 17 -- India's auto sector is least impacted by the recent curb of rare earth magnets by China as over 95 per cent of vehicles in India's are internal combustion engine (IC) vehicles noted a report by Nuvama.

Electric vehicles (EVs), along with hybrid passenger vehicles and electric two-wheelers, are likely to face the most impact from restrictions on rare earth materials (REMs).

The report explained that while REMs are used in a wide range of industries, the biggest effect of the restrictions will be felt in the EV sector, particularly in EV motors.

It stated "The greatest impact of the above restriction in descending order will be electric PVs, hybrid PVs, and electric 2W. Conventional ICE vehicles will be least impact...