Rare Earth Metal ETF Huafu Deep V Reversal Surges 1.29%, Strategic Minor Metals Prices Rise Broadly Amid Geopolitical Disruptions and Deepening "Anti-Involution" Policy

As of March 13, 2026, 10:04 AM, the China Securities Rare Metals Theme Index (930632) surged 1.38%, with constituent stocks such as Hengdian DMEGC Magnetics hitting the 10% daily limit, Salt Lake Shares rising 6.74%, Tianhua New Energy up 6.56%, and stocks like Rongjie Shares and Tibet Mining also gaining. The Huafu Rare Metals ETF (561800) reversed and rose 1.29%. Looking at a longer timeframe, as of March 12, 2026, the Huafu Rare Metals ETF has increased by a total of 26.75% over nearly three months.

Data shows that as of February 27, 2026, the top ten holdings of the China Securities Rare Metals Theme Index (930632) are Luoyang Molybdenum, Northern Rare Earth, Salt Lake Shares, Huayou Cobalt, Ganfeng Lithium, Xiamen Tungsten, Zhongkuang Resources, Zhongtung High-tech, Tianqi Lithium, and China Rare Earth, which together account for 58.64% of the total.

In terms of capital inflow, over the long term, as of March 12, 2026, the Huafu Rare Metals ETF has attracted a total of 42.35 million yuan in the past 10 trading days.

The intensifying geopolitical conflicts in the Middle East are increasing risks to the global critical metals supply chain. The shutdown of two major aluminum plants, Qatalum and Alba, and disruptions in shipping through the Strait of Hormuz have not only driven up aluminum price expectations but also prompted a reassessment of the stability of global rare metals logistics channels. China Post Securities pointed out that such events are accelerating the restructuring of the global critical mineral supply security logic. Rare metal companies with independent controllable resource reserves, cross-border operational capabilities, and efficient technological transformation will hold a leading position in the new round of global supply chain resilience building.

The rare metals sector has recently shown structural strength. Guoyuan Securities noted that the small metals sub-sector has gained 5.45% over the past two weeks, significantly outperforming the overall non-ferrous metals index. Prices of strategic small metals such as molybdenum, tungsten, antimony, gallium, and germanium have generally risen, reflecting a strengthening pattern of supply rigidity and emerging downstream demand. Against the backdrop of geopolitical disturbances and intensified domestic “anti-involution” policies, rare metal companies with resource barriers and integrated industrial chains are expected to continue benefiting from increased industry concentration and improved pricing power.

The Huafu Rare Metals ETF (561800) provides on-exchange investors with an excellent tool for one-click exposure to the rare metals industry.