Efforts to transition to electric vehicles are gaining momentum as states like California enact new laws banning the sale of new internal combustion vehicles by 2035.

Additionally, the Science and Chips Act of 2022 provides billions of dollars in tax credits for semiconductor companies to build new manufacturing facilities.

Here are two high-yielding materials stocks that should benefit from these developments in the electric vehicle and semiconductor industries.

Southern Copper Corporation SCCO offers a dividend yield of 7.80%, or $4.00 per share annually on quarterly payments, with a mixed track record of growing dividend payments. Southern Copper Corp is an integrated producer of copper and other minerals such as molybdenum, silver, zinc, lead and gold as the Company operates mining, smelting and refining assets in Peru and Mexico.

In the second quarter, Southern Copper reported a 12% decrease in copper production, 4% in silver production, 9% in molybdenum production and 12% in zinc production compared to the year-ago quarter.

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dow inc DOW offers a dividend yield of 5.10%, or $2.80 per share annually using quarterly payments, with no increase in dividends over the past year. dow is a diversified chemicals company with a portfolio of six global business units organized into three operating segments: Packaging and Specialty Plastics, Industrial Intermediates and Infrastructure, and Performance Materials and Coatings.

In 2021, Dow had net sales of $55 billion with 104 manufacturing facilities in 31 countries and approximately 35,700 employees.