The Democratic Republic of Congo (DRC) has resumed exports of cobalt after a 10-month hiatus, the country's Finance Minister announced as 2025 came to a close. The ban, introduced early last year, had halted shipments of the critical mineral used extensively in batteries for electric vehicles and electronics.
The resumption comes amid growing concerns about supply chain concentration. The DRC accounts for over 70% of the world's cobalt production, and the export curbs highlighted how vulnerable global markets can be when supply is dominated by a single nation. This vulnerability mirrors the broader challenge posed by China's control over the extraction and refining of many critical minerals, including rare earths and lithium.
Exploration companies like Numa Numa Resources Inc. are making headway in identifying viable deposits of these minerals, aiming to diversify supply sources. However, the DRC's decision to lift the ban provides immediate relief to industries that rely on cobalt, including battery manufacturers and tech companies.
The ban's impact was felt globally, with cobalt prices spiking during the hiatus. The resumption is expected to stabilize prices, but the episode serves as a stark reminder of the geopolitical risks embedded in the clean energy transition. As demand for cobalt grows, driven by the shift to electric vehicles, the need for diversified and secure supply chains becomes increasingly urgent.
Analysts note that while the DRC's resumption is positive, long-term solutions require investment in recycling technologies and alternative battery chemistries that reduce cobalt dependency. Meanwhile, exploration efforts in other regions, including Canada and Australia, are progressing but remain years away from commercial production.
The situation also underscores the broader issue of mineral sovereignty. Resource-rich countries like the DRC are increasingly leveraging their positions to negotiate better terms or impose restrictions, as seen with Indonesia's nickel export ban. Such moves can disrupt global markets and accelerate efforts to find substitutes or develop domestic processing capabilities.
For now, the resumption of DRC cobalt exports provides a temporary reprieve. But the lesson from this 10-month ban is clear: overreliance on a single source for critical minerals poses significant risks to global supply chains, especially in industries central to the energy transition.
