China's rare earth stocks surge after Trump vows new tariffs

China Rare Earth Holdings

02/08/2019 03:12

** Shares of China's rare earth-related firms climb on
Friday, amid speculation the sector could be the next front in
the Sino-U.S. trade war as trade tensions rise
    ** U.S. President Donald Trump said he plans to impose a 10%
tariff on $300 bln of Chinese imports from Sept. 1 and could
raise tariffs further if China's President Xi Jinping fails to
move more quickly to strike a trade deal  urn:newsml:reuters.com:*:nL4N24X4MO 
    ** Rising tensions between the two countries sparked
concerns that Beijing could use its dominant position as a
supplier of rare earths for leverage in the trade war between
the two global economic powers  urn:newsml:reuters.com:*:nL2N23Q0HZ 
    ** China Rare Earth Holdings Ltd  0769.HK  surges as much as
30.6%
    ** Leading gains on the mainland, JL MAG Rare-Earth Co Ltd
 300748.SZ  and Chengdu Galaxy Magnets Co Ltd  300127.SZ  both
soar as much as 10%
    ** China Northern Rare Earth Group High-Tech Co Ltd
 600111.SS , China Minmetals Rare Earth Co Ltd  000831.SZ ,
Xiamen Tungsten Co Ltd  600549.SS , Rising Nonferrous Metals
Share Co Ltd  600259.SS  and Shenghe Resources Holding Co Ltd
 600392.SS  advance between 2.6% and 6.8%
    ** As of previous close, the CSI Rare Earth Industry index
 .CSI930598  had risen 29.29% so far this year amid persistent
Sino-U.S. trade tensions

 ((luoyan.liu@thomsonreuters.com; Reuters Messaging:
luoyan.liu.thomsonreuters.com@reuters.net))