Companies manufacturing electronic components, especially those requiring rare earth minerals, are seeing dramatic gains of 8-12% as the China agreement promises to alleviate supply chain bottlenecks. Several mid-cap electronic component manufacturers that rely heavily on rare earth minerals for production have seen options activity spike 300% in early trading.

Building on gains from the UK deal, agricultural producers are now poised for a dual windfall as China agrees to lower tariffs on U.S. agricultural exports by 40%. Soybean, pork, and corn producers are seeing particularly strong momentum, with one major agricultural ETF up 6.3% in trading.

Industry analysis suggests the combined impact of increased UK and Chinese agricultural purchases could add $12-15 billion to U.S. farm exports over the next year – a dramatic reversal from the contraction many analysts had predicted just weeks ago.

Companies that produce equipment used in semiconductor manufacturing are seeing substantial gains as the agreement promises to normalize trade in this critical sector. While the U.S. maintains some restrictions on advanced chip technologies, the reduction in broader semiconductor-related tariffs is expected to significantly boost equipment sales.

Perhaps the biggest winners from Monday's announcement are U.S. companies involved in rare earth mineral processing. These firms have struggled to compete with Chinese processors for years, but the new agreement includes provisions for technology sharing and joint ventures that could dramatically reshape the sector.

One particularly noteworthy development is the exemption of certain U.S. rare earth processors from Chinese export restrictions, potentially creating a specialized supply channel that bypasses broader trade tensions.

Companies throughout the EV supply chain are seeing strong momentum as rare earth access improves. The minerals are crucial for electric motors, batteries, and other key components. Several EV manufacturers have specifically cited rare earth access as a critical constraint in their production forecasts.

"This agreement potentially removes one of the biggest bottlenecks in scaling electric vehicle production," noted transportation analyst Michael Chang at Deutsche Bank. "Manufacturers that have secured processing partnerships could see production costs decrease by 12-15% in the coming quarters."

Companies specializing in industrial automation equipment stand to benefit from both improved rare earth access and reduced component tariffs. These firms rely heavily on specialized magnets and sensors that require rare earth elements in their production.

While less publicized, defense contractors with significant exposure to advanced electronics are seeing notable gains. Military systems rely heavily on rare earth components for everything from guidance systems to communications equipment. Industry sources suggest several major defense contractors have already begun revising production forecasts upward based on improved supply chain visibility.

Companies specializing in trans-Pacific shipping and logistics are experiencing their strongest rally since 2021, with the sector index up over 9% in trading. The dramatic reduction in tariffs is expected to trigger a surge in shipping volume across both the Atlantic and Pacific trade routes simultaneously.

Major retailers are also joining the rally, with several large consumer goods companies seeing their biggest single-day gains in years. These firms had been particularly hard-hit by the 145% tariffs on Chinese imports, and investors are now pricing in potential margin improvements as supply chain costs normalize.