April 1 (Reuters) - Japanese Prime Minister Sanae

Takaichi and French President Emmanuel Macron will agree to

create a roadmap for diversifying supplies of rare earths and

other critical minerals, the Nikkei reported on Wednesday.

The report said a joint statement will be issued by the two

leaders, which will express concern over export restrictions on

critical minerals. Reuters could not immediately verify the

information in the report.

The Japanese and French governments plan to start a

public-private project in southwestern France at year-end to

refine heavy rare earths used in electric vehicle motors and

other technologies, Nikkei reported.

Both Takaichi and Macron will confirm this and other plans

to build rare earths supply chains independent of China, the

report said.

The deal comes at a critical moment, as Japan and Western

governments and manufacturers are scrambling to secure supplies

of rare earths minerals to reduce their dependency on China, the

world's dominant rare earths supplier and producer.

Earlier in March, Japan Australia Rare Earths, co-owned by

state-run Japan Organization for Metals and Energy Security and

Sojitz Corp ( SZHFF ), struck a deal with Australia's Lynas Rare

Earths ( LYSCF ), the largest rare earth producer outside China.

Under the deal, Lynas will set aside 75% of its heavy rare

earth oxide output for the Japanese industry, with Japan

Australia Rare Earths committing to buy half the firm's total

heavy rare earth production.

On March 20, the U.S. and Japan also released an action

plan for developing alternatives to China for critical minerals

and rare earths supply chains, focusing initially on price

floors for a select group of minerals.

Japan and France will also seek cooperation in space, with

companies from the two countries expected to sign memorandums of

understanding on 12 joint projects, including space debris

removal and rocket launches.

The Japan Aerospace Exploration Agency (JAXA) and CNES,

France's space agency, will provide financial backing for

corporate space technology development, offering capital to

companies from their respective countries that take part in

joint projects, the report added.