VanEck Launches Europe's First Pure-Play China Semiconductor ETF (SMHC)

VanEck has launched the VanEck China Semiconductor UCITS ETF (SMHC), Europe's first ETF dedicated to mainland China's semiconductor supply chain. Listed across four European exchanges with a 0.65% expense ratio, the fund tracks the MarketVector China Semiconductor 10% Capped Screened Index, comprising 25 Chinese chipmakers and equipment manufacturers generating at least 50% of revenue from the semiconductor ecosystem. The launch targets China's accelerating push for semiconductor self-sufficiency as U.S. export restrictions fuel demand for domestic suppliers such as Cambricon and NAURA Technology. However, the underlying index has fallen 48% since its June peak, highlighting significant volatility. Meanwhile, VanEck's $8.5 billion global semiconductor UCITS ETF has attracted over $2.5 billion in 2026 inflows and gained more than 60%, according to Trackinsight data.