New Delhi, June 5 -- New Delhi/Mumbai: India's auto industry has flagged to the government that while China is approving rare earth magnet exports to other countries, applications from India remain stuck, said three industry executives in the know.

As a result, India's production of conventional and electric vehicles could be hit as early as this month if China doesn't resume exports of its rare earth magnets to the country soon, auto industry representatives told the secretary of the ministry of heavy industries on 29 May.

China has a near monopoly on rare earth magnets, which are essential for manufacturing electric-vehicle motors and other auto components.

Representatives from several automotive companies and two industry bodies tol...