International car manufacturers hoped China will accelerate the export of rare-earth magnets, reflecting China's dominant position in this field, according to CLSA's research report. The current negotiations on rare-earth magnet exports highlighted the tight upstream supply situation. The broker believed that, due to the lack of output outside China, the threat of replacing Chinese-made rare-earth magnets remains low.Related NewsCiti: YU7 Launch May Prompt Tesla, XPENG-W to Further Cut Car PricesCLSA's top pick in the rare earth industry is JLMAG (06680.HK) +0.600 (+3.352%) Short selling $9.91M; Ratio 6.077% , with a target price of $25 and rating at High Conviction Outperform, due to its leading position in the midstream of rare earths and its potential to benefit from long-term growth in the new energy sector. In the battery industry, the broker's top pick is CATL (03750.HK) +5.000 (+1.540%) Short selling $204.65M; Ratio 25.572% , with a target price for the company's H-/ A-shares of $447/ RMB380, both of which rated at Outperform. CLSA expected the company to perform well in the slow but competitive domestic EV market, and believed that its leadership position will be advantageous for further growth in the underpenetrated high-end EV market.(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2025-06-27 12:25.)