After sharp sell-offs that began on Jan. 29, the prices of and have rebounded. Most recently, the impetus for those precious metals’ bullish price action has been the war between Iran and an allied United States and Israel, which began on Saturday, Feb. 28.
But as impressive as the precious metals rally was last year—and how it has notably continued this year—both gold and silver are being outperformed by one critical industrial metal: lithium.
Gold’s nearly 19% year-to-date (YTD) gain and silver’s nearly 17% YTD gain are impressive and continue to generate eye-catching headlines. But so far in 2026, lithium has generated a YTD gain of almost 30%.
Here’s why the metal’s price is surging, and three ways investors looking to gain exposure can add it to their portfolios.
Global Demand Is Robust and Growing
More than 75% of the world’s supply is used for lithium-ion electric vehicle (EV) batteries and electronics, but the metal’s applications also include grid storage, heat-resistant materials, medications, and aerospace alloys, as well as a thickening agent in lubricating greases.
According to industry consultancy firm Grand View Research, the global lithium market finished 2025 with an estimated value of more than $32 billion and is forecast to undergo a compound annual growth rate (CAGR) of 14.5% from 2026 to 2033. At the end of that forecast period, the total addressable market is expected to be valued at $96.45 billion.
And while EV adoption is only slowly taking hold in the United States, the U.S. lithium market—valued at $1.06 billion in 2023—is expected to grow at a CAGR of 12.6% through 2030, with major driving factors for rising demand including lithium-ion batteries, consumer goods, and grid storage.
Tap Into the Rally With the World’s Largest Lithium ETF
With $1.67 billion in assets under management (AUM), the is the largest lithium exchange-traded fund (ETF) in the world.
The fund sees average daily trading volume of nearly 456,000 shares, and had gained more than 16% this year before a healthy pullback began on Feb. 25. Today, shares of LIT are trading nearly 8% lower but are already ticking higher again.
Among its top five holdings are —the world’s largest lithium producer—, and British-Australian mining company , the fund’s largest holding at nearly 23%.
While the LIT’s focus is primarily mining, it also provides exposure to companies operating in the chemicals, electronics, renewable energy, and EV markets. By geographic exposure, 39% of the ETF’s companies operate in the United States, while more than 29% are located in China, and another 11% call South Korea home.
The fund receives an aggregate rating of Moderate Buy based on 103 analyst ratings issued over the past year covering six companies in the LIT’s portfolio.
A Lithium Fund With a Mining Focus
With a focus on lithium miners and producers, the iShares Lithium Miners and Producers ETF also pulled back beginning on Feb. 25 after gaining nearly 17% YTD. Like the LIT, the fund has already begun ticking back up again.
Considerably smaller than its counterparts, the ETF has $19.63 million in AUM and average daily trading volume of just under 50,000 shares, which could present short-term traders with liquidity concerns. But for buy-and-hold investors with longer horizons, the fund can provide them with access to a basket of lithium miners and compound manufacturers.
While less diversified than the LIT, current short interest stands at just 1.86%—lower than the LIT’s 2.26% and nearly 26% less than short interest was the month prior.
The ILIT receives an aggregate rating of Hold based on 71 analyst ratings issued over the past year covering seven companies in the fund’s portfolio, which also includes market dominators Albemarle and Sociedad Quimica y Minera de Chile.
A Lithium ETF With EV Maker and EV Battery Exposure
Before also pulling back on Feb. 25, the —a lithium fund with an EV battery bent—had gained more than 17% YTD. After pulling back nearly 9%, like the LIT and ILIT, the fund is back on the rise.
The ETF, which has $115.50 million in AUM and daily trading volume of nearly 83,000 shares, holds lithium producers including Albemarle, it also provides exposure to EV makers and EV battery tech. Its second-largest holding, for example, is Magnificent Seven member with a 7% weighting.
The current short interest of 1.67% is the lowest of all three lithium ETFs on this list and is more than 47% lower than the month prior. Meanwhile, institutional inflows of nearly $6 million over the past year have far outpaced outflows of just $731,000.
