African Nations Ban Raw Battery Mineral Exports Amidst Global Competition
Several African nations, including Namibia and the DRC, are banning raw mineral exports to boost local processing and revenue amid rising global demand for battery materials. This shift responds to competition between China and Western nations for critical resources essential for clean energy technologies.
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Namibia has enacted a ban on the export of unprocessed lithium, cobalt, manganese, graphite, and rare earth minerals to enhance local economic benefits. The Democratic Republic of the Congo (DRC) and Zimbabwe are also pursuing similar policies, capitalizing on the escalating global demand for lithium and cobalt, key components in rechargeable batteries.
China currently dominates lithium processing, controlling over 50% of the market, while the US and Canada process less than 5% each. In response to this competition, the EU secured a deal with Namibia for rare earth minerals, and the US signed a memorandum with Zambia and the DRC to enhance their mining sectors. The local processing initiative could reshape the mineral supply chain, but many African countries lack adequate refining capacity.
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