Shares of China Rare Earth Holdings surged sharply in Hong Kong, closing up 60% following the Chinese government's approval of certain export license applications for rare earth-related products. The move comes amid rising global demand for medium and heavy rare earth elements driven by industries such as robotics and new energy vehicles. Zhejiang Zhongke Magnetic Industry, a magnet manufacturer, also saw its shares rise 13% in Shenzhen. The rally in rare earth stocks is further fueled by speculation that upcoming US-China trade talks in London could lead to renewed export opportunities to Western markets. China produces nearly 70% of the world's rare earth elements, making the sector a critical point of contention in ongoing trade discussions. Despite gains in rare earth stocks and gold, broader Chinese stock indexes such as the CSI 300 experienced volatility, with some declines following earlier advances.