Lithium Price Rebound and US-China Trade Regulations Boost Secondary Battery ETFs
The recent rebound in lithium prices has boosted secondary battery-related stocks and ETFs. This trend is mainly driven by China's lithium production cuts and US trade regulations against China, with the 'Samsung KODEX Secondary Battery Industry Leveraged ETF' recording the highest returns. In contrast, domestic equity funds have seen an average return decrease of 0.21%.
Global markets have demonstrated varied performances due to uncertainties in US-China trade relations. At the InterBattery 2025 event held in March at COEX, LG Energy Solution showcased its 46 series battery, with the secondary battery sector achieving the highest returns in the domestic stock market. This optimism stems from expectations that domestic secondary battery companies may benefit from tightened US trade regulations against China.
The KRX Secondary Battery Top 10 Index has risen by 15.8%, with foreign investors actively purchasing shares in LG Energy Solution and POSCO Holdings. However, individual investors are hedging against potential declines by buying inverse ETFs. Concerns persist over soaring lithium prices and the potential cessation of US electric vehicle subsidies, but the growing demand for ESS batteries is seen as a potential new growth driver.
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Secondary battery stocks ranked 1st in this month's returns... Yet, retail investors go the opposite way with inverse ETF bets - Maeil Business NewspaperThis month, the secondary battery sector has attracted attention by recording the highest returns in the domestic stock market. Expectations that domestic secondary battery companies will benefit from reinforced US trade regulations with China have led to a rise in stock prices. However, individual investors adopted a contrasting strategy by betting on the decline of secondary battery stocks. According to the Korea Exchange on the 27th, the KRX Secondary Battery Top 10 Index rose by 15.8% this month.
Lithium Prices Rise and U.S. Tariffs... Second Battery ETFs ‘Soar’ [Fund Watch] - E-DailyWith lithium prices rebounding, lithium-related stocks and secondary battery ETFs are on the move. The Chinese government's production cuts to resolve oversupply, combined with U.S. trade regulations against China, have led to expectations that domestic companies will benefit as a result. (Data=KG Zero-in) On the 27th, fund...