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US and others build rare earth supply chains to counter China's dominance, boosting ETFs like Sprott's REXC.

Market News
17 Jul 2026
ETF Trends
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Bullish
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The US and other countries are working to reduce dependence on China for rare earth elements, crucial for AI, defense, and energy. China currently dominates 69% of mining and 91% of production, prompting geopolitical shifts and supply chain diversification. The Sprott Rare Earths Ex-China ETF (REXC) offers investors exposure to companies outside China, benefiting from growing demand and strategic supply changes. This trend reflects rising investor interest in rare earths beyond national security, driven by AI and industrial needs.

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