House Select Committee Hearing on CCP Mineral Price Manipulation: Market Impact Analysis

On November 17, 2025 (21:36 EST), news emerged of a U.S. House Select Committee hearing on November 18 regarding alleged CCP manipulation of global mineral prices, featuring CEOs from Lithium Americas ($LAC) and MP Materials ($MP) [5]. Policy proposals under consideration include a critical minerals czar, expedited permitting, minimum price levels, strategic reserves, tax credits, and workforce development. The news was released post-market, so November 17 closing data reflects pre-news activity: $LAC closed at $4.77 (up ~6.95% from prior close) [0], while $MP closed at $56.98 (down ~2.83%) [1]. The Basic Materials sector (including critical minerals) declined by 0.85% that day, making $LAC’s gain an outlier [4]. Volume for both stocks was below their averages: $LAC traded 27.95M shares (vs 42.34M avg) [2], $MP 5.89M (vs14.85M avg) [3].

1. Pre-News Sentiment Divergence
   : $LAC’s pre-news gain suggests investor optimism about potential policy support for U.S. lithium producers, whereas $MP’s decline may reflect concerns about its exposure to Chinese supply chains or policy impacts on its operations.
2. Sector Context
   : The Basic Materials sector’s downward trend indicates broader market caution toward commodity-related stocks, which could overshadow positive policy outcomes.
3. Policy Catalyst Potential
   : The proposed policies (if enacted) could provide long-term support for U.S. critical minerals and rare earths equities, but short-term uncertainty remains high.

• Uncertainty
  : Hearing outcomes and policy specifics are unknown; weaker-than-expected proposals could reverse $LAC’s gains.
• China Response
  : Retaliatory actions (e.g., export restrictions) could disrupt global supply chains, impacting both stocks.
• Sector Volatility
  : The Basic Materials sector’s decline signals ongoing market caution [4].

• Policy Support
  : Enactment of proposed measures (expedited permitting, tax credits) could boost U.S. critical mineral producers like $LAC and $MP.
• Geopolitical Shifts
  : The hearing highlights growing U.S. focus on reducing dependence on Chinese mineral supplies, opening opportunities for domestic producers.

• Event
  : Nov18 hearing on CCP mineral price manipulation (post-market news Nov17).
• Pre-News Data
  : $LAC up ~6.95%, $MP down ~2.83% (Nov17 close).
• Uncertainties
  : Post-hearing market reaction, policy specifics, China’s response, and legislative follow-through.
• Monitoring Points
  : Hearing proceedings, post-hearing policy announcements, China’s reaction, Nov18 trading activity for $LAC/$MP, and sector trends.