DRC considering stricter export restrictions on cobalt due to oversupply, potentially impacting market balance

From Yahoo Finance: 2025-05-15 10:14:00

The Democratic Republic of Congo (DRC) is considering strict export restrictions on cobalt after a current four-month ban due to oversupply. President Luabeya cites high global stockpiles suppressing prices. Despite reduced stockpiles, excess supply continues to depress prices, prompting potential export limitations until market balance is achieved.

The DRC is engaging with industry stakeholders to discuss the export ban, with Mines Minister Pakabomba suggesting a review. The country is in talks with key industry players like Glencore, ERG, and CMOC regarding the future of its export policy. A state monopoly was initiated in February 2025 to oversee artisanal cobalt production and export.

Plans to implement export quotas post-ban and collaborate with Indonesia on global supply and pricing management are in motion. Cobalt demand is projected to grow at a 7% compound annual rate, reaching 400,000 tonnes by the early 2030s, driven by the electric vehicle market expansion. The future of DRC’s cobalt export policy remains uncertain amidst market challenges.

Read more: DRC may impose stricter cobalt export curbs