Rare earths are critical inputs for defense, electric vehicles, clean energy technologies, semiconductor manufacturing, and consumer electronics. These minerals underpin industries that major economies consider strategically vital. Their growing importance is fueling an intensifying global scramble for the Arctic’s vast, untapped mineral reserves.

According to CNBC, as countries seek to break China’s grip on critical minerals, attention is shifting to the thawing northern polar region, where vast resources and evolving trade routes present new strategic opportunities.

Trump has repeatedly highlighted the strategic value of Greenland, while Canada is increasing its Arctic investment to tap the region’s resource potential, especially as tensions with the United States rise. According to the aforementioned CNBC article, accelerated ice loss has unintentionally improved mining access to several of the island’s strategically important mineral deposits.

According to Marc Lanteigne, associate professor at the Arctic University of Norway in Tromso, the Arctic holds an abundance of raw materials, including many strategic minerals and rare earths but mining them was long seen as impractical, as quoted on CNBC. As melting ice makes the region more accessible, Greenland is drawing renewed attention as a potential alternative to China for critical materials.

The U.S. push to reduce its dependence on China for rare earth minerals could spur greater interest in deal-making and investment. According to the Guardian, after China limited rare-earth exports to the United States, President Trump moved quickly to strike deals with Australia, Malaysia, Cambodia and Japan to shore up alternative supply.

ETFs to Consider

According to Tony Sage, CEO of Critical Metals, investor interest in Greenland has risen sharply in recent months, particularly after President Trump returned to office and revived discussions about asserting control over the territory,as quoted on CNBC.

Below, we highlight ETFs that offer investors an easy way to tap into the rare earth stock boom. With demand for critical minerals accelerating, ETFs provide a diversified approach to gain exposure to the market’s optimistic outlook.

These funds offer broad global diversification, giving investors exposure to many of the world’s key rare earth miners and helping ensure they don’t miss out on the momentum building across the rare earth sector.

VanEck Rare Earth/Strategic Me (REMX Quick QuoteREMX - Free Report)

VanEck Rare Earth/Strategic Me seeks to track the performance of MVIS Global Rare Earth/Strategic Metals Index with a basket of 29 securities. The fund has amassed an asset base of $1.5 billion and charges an annual fee of 0.58%.

REMX has double-digit exposure to China (28.31%), Australia (24.41%) and the United States (19.07%). The fund has an allocation of 52.3% to large-cap securities.

VanEck Rare Earth/Strategic Me has a one-month average trading volume of about 1.5 million shares. The fund has gained 61.76% over the past three months and 45.14% over the past year.

Sprott Critical Materials ETF (SETM Quick QuoteSETM - Free Report)

Sprott Critical Materials ETF seeks to track the performance of Nasdaq Sprott Critical Materials Index with a basket of 87 securities. The fund has amassed an asset base of $163.4 million and charges an annual fee of 0.65%.

SETM has double-digit exposure to Canada (37.7%), Australia (25.7%) and the United States (19.8%). The fund has an allocation of 45.22% to large-cap securities. SETM has 15.61% exposure to rare earth equities.

Sprott Critical Materials ETF has a one-month average trading volume of about 182,000 shares. The fund has gained 44.34% over the past three months and 41.99% over the past year.