racism
n 1: the prejudice that members of one race are intrinsically superior to members of other races 2: discriminatory or abusive behavior towards members of another race [syn: racialism]
Another definition of n1, from the same side
dictionary.com said:
The belief that race accounts for differences in human character or ability and that a particular race is superior to others.
This doesn't really apply here: Racism in the real world applies to humans. There are different races of humans, but races means nationality here, not species. The genetic code is more or less the same, and the differences are mostly cosmetical.
In fantasy, on the other hand, the races have indeed different traits. Not just a reaction to their environment, but species-dependent differences, like pointed ears or significant longer lifespan (or greater intelligence, and lower consitution)
So the sun elves aren't being racist, meaning nationalist, they're more speciesist. They think that their genetic code is the best. That's not racism IMO. It's like calling a cat-lover racist, cause he says cats are better than dogs.
And n2 isn't true for sun elves. They don't abuse or discriminate other species (at least not the gold elven race at large, individuals do discriminate and abuse others).