The Democratic Republic of Congo, the world’s top cobalt producer is lifting its export ban starting October 16th. Congo will now control global supply through strict annual export quotas, the country’s strategic minerals regulator announced Sunday.
DR Congo Lifts Cobalt Export Ban, Introduces Strict Quotas to Control Global Supply Kinshasa, Democratic Republic of Congo (DRC) – The Democratic Republic of Congo, the world’s leading producer of cobalt, will lift its export ban on the critical mineral starting October 16, 2025, according to an announcement by the country’s strategic minerals regulator on Sunday. The decision marks a significant shift in global cobalt supply dynamics, as the DRC introduces stringent annual export quotas to stabilize prices and assert greater control over the market for this key component in electric vehicle (EV) batteries. Key Details of the New Policy For the remainder of 2025, the DRC has set an export cap of 18,125 tonnes of cobalt. This quota will increase significantly to 96,600 tonnes annually for both 2026 and 2027. The export ban, in place since February 2025 following a nine-year low in cobalt prices, had disrupted global supply chains, prompting major producers like Glencore to declare force majeure on their contracts. The new quota system aims to address oversupply issues, stabilize prices, and strengthen the DRC’s grip on the global cobalt market, which is critical for the EV industry and renewable energy technologies. The regulator also announced that 10% of cobalt exports will be reserved for strategic national projects, with the government retaining the right to purchase excess stockpiles from companies exceeding their quotas. Industry and Market Implications The quota system has garnered mixed reactions from major players in the cobalt sector. Glencore, a leading global mining company, supports the policy, viewing it as a mechanism to stabilize prices. However, China Molybdenum Co. (CMOC), another major producer, has expressed opposition, citing potential constraints on its operations. The DRC’s move comes amid growing global demand for cobalt, driven by the accelerating transition to electric vehicles and renewable energy storage systems. By controlling export volumes, the DRC aims to prevent price volatility and maintain its dominance in the cobalt market, which accounts for approximately 70% of global supply. Challenges in Eastern Congo The policy shift occurs against the backdrop of escalating conflict in eastern DRC, where illegal mining activities are exacerbating violence led by the M23 rebel group. The largely unregulated artisanal mining sector, which employs thousands of workers under hazardous conditions, poses significant challenges for global traceability and ethical sourcing standards. The DRC’s regulator has not yet detailed how the quota system will address these issues, but the policy underscores the government’s intent to assert greater oversight over the cobalt trade. Flexibility and Future Adjustments The DRC’s strategic minerals regulator emphasized that export quotas may be adjusted based on market trends or advancements in local refining capacity. This flexibility aims to balance global supply needs with the DRC’s domestic priorities, including the development of its own cobalt processing infrastructure. Global Significance The DRC’s decision to lift the export ban and implement quotas is a pivotal development for the global cobalt market, which is integral to the clean energy transition. As nations and industries worldwide ramp up EV production, the DRC’s policies will likely influence cobalt prices, supply chain strategies, and investment in alternative battery technologies. However, the ongoing conflict and ethical concerns surrounding artisanal mining will continue to challenge efforts to ensure a stable and responsible cobalt supply chain. For further details on the DRC’s cobalt policies or related developments, stakeholders are encouraged to monitor updates from the country’s strategic minerals regulator.
