The Democratic Republic of Congo has officially restarted cobalt exports after nearly a year-long pause, marking a turning point in the government’s strategy to assert greater control over one of its most valuable natural resources. Authorities say the decision follows signs that the global cobalt market has stabilized after a period of sharp price weakness.
The export halt, introduced earlier this year, was initially meant to be temporary but was extended as officials sought to reshape market dynamics.
A Strategic Pause to Regain Pricing Power
The suspension was introduced in February as global cobalt supplies surged, driving prices down and reducing government revenues. Congolese officials argued that despite dominating global production, the country had little influence over pricing and bore the brunt of market volatility.
By halting exports, the government aimed to reinforce national control over strategic minerals and challenge a system in which large volumes were sold at diminishing returns. Officials now say the policy achieved its goal, helping to reverse the downward trend in prices.
Market Impact and Role of Major Producers
During the export freeze, cobalt prices more than doubled, climbing from around 22,000 dollars per ton to above 54,000 dollars. Authorities credit the rebound to reduced supply and stronger bargaining power by the world’s top producer.
The DRC accounts for more than three-quarters of global cobalt output, much of it extracted from large-scale operations in the southeast. Foreign mining companies, particularly Chinese operators with extensive holdings in major Congolese mines, play a dominant role in production volumes and export flows.
Economic Importance and Regional Context
Cobalt is a critical component in lithium-ion batteries used in electric vehicles, consumer electronics, and energy storage systems, making it a cornerstone of the global energy transition. For the DRC, revenues from the metal are vital to public finances and long-term development planning.
Most cobalt mining takes place in the Katanga region, an area central to the country’s economic strategy. Unlike the eastern provinces affected by ongoing conflict, this mining hub has remained relatively stable, allowing production to continue despite broader national security challenges.
With exports now resumed, Congolese authorities say they will continue monitoring the market closely, signaling that future interventions remain possible if prices again move against national interests.
