Central Africa

DR Congo: Critical Minerals Profile

Dominant global cobalt supplier with critical supply chain ethical and governance challenges.

cobalt copper tantalum tin tungsten gold diamonds

Overview

The Democratic Republic of Congo is the world's most important source of cobalt, producing over 70% of global mine output from the copper-cobalt belt in the southeastern provinces of Lualaba and Haut-Katanga. This extraordinary concentration of supply in a single country creates one of the most acute supply chain vulnerabilities in the critical minerals landscape. Congolese cobalt is essential for lithium-ion battery cathodes used in electric vehicles, consumer electronics, and grid storage, as well as for superalloys in aerospace applications. The DRC is also a significant copper producer, with output growing rapidly as Chinese-owned operations expand production. Artisanal and small-scale mining accounts for an estimated 15-30% of Congolese cobalt production, and conditions in these operations have drawn intense scrutiny over child labor, hazardous working conditions, and human rights abuses that create reputational and compliance risks for downstream buyers.

Key Minerals and Resources

DR Congo's critical mineral profile is defined by its endowment of cobalt, copper, tantalum, tin, tungsten, gold, and diamonds. These minerals position the country as a significant global supplier in supply chains spanning the energy transition, advanced manufacturing, and defense sectors.

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Mining and Production

Mining in the DRC ranges from world-class industrial operations to rudimentary artisanal digging, creating one of the most complex mining environments in the world. The industrial cobalt-copper mining sector is dominated by Chinese-owned companies including CMOC (which operates the Tenke Fungurume mine), China Molybdenum, and Zijin Mining, alongside Glencore's Kamoto and Mutanda operations and Barrick Gold's Kibali gold mine. Artisanal mining is a major feature of the Congolese mineral sector, with an estimated 150,000-200,000 artisanal miners producing cobalt, tantalum, tin, tungsten, and gold. These operations frequently involve hazardous conditions, child labor, and connections to armed groups, creating severe ESG challenges for the entire cobalt supply chain. The DRC government has sought to increase its share of mining revenue through a revised mining code enacted in 2018 that raised royalties, increased state equity, and designated cobalt as a strategic substance subject to a 10% royalty rate.

Policy and Regulation

The DRC's mining sector is governed by the 2018 Mining Code, which significantly increased the state's share of mining revenue through higher royalty rates, expanded state equity provisions, and the designation of cobalt, coltan, germanium, and other minerals as strategic substances subject to enhanced royalty rates. The government has sought to assert greater control over the mining sector through the state mining company Gecamines and the national cobalt marketing entity, Entreprise Generale du Cobalt. However, governance challenges remain severe, including corruption, weak institutional capacity, security threats in eastern provinces, and limited ability to regulate the artisanal mining sector. International initiatives including the Responsible Minerals Initiative, the OECD Due Diligence Guidance, and EU conflict minerals regulation have imposed compliance requirements on companies sourcing minerals from the DRC.

International Partnerships

The DRC's mineral partnerships are dominated by Chinese investment, with Chinese companies controlling a significant share of industrial cobalt and copper production. The DRC has signed a Strategic Partnership on Raw Materials with the European Union and has engaged with the United States on responsible mineral supply chain development. The DRC participates in the International Conference on the Great Lakes Region, which addresses conflict mineral governance, and hosts the Regional Certification Mechanism for minerals. International organizations including the OECD, the International Tin Supply Chain Initiative, and the Responsible Minerals Initiative operate programs in the DRC aimed at improving supply chain transparency and reducing conflict mineral risks. The DRC government has expressed interest in diversifying its mineral partnerships beyond China and attracting investment from Western companies willing to meet higher governance and social standards.

Supply Chain Role

DR Congo occupies a pivotal position in global critical mineral supply chains due to its dominance in one or more essential minerals. The country's production is so concentrated in specific materials that disruptions, whether from political instability, policy changes, or operational issues, can ripple through global markets and affect manufacturers worldwide. DR Congo's supply chain strategy is evolving as the government seeks to capture more value from its mineral resources through domestic processing requirements and higher state revenue shares. This evolution creates both opportunities and risks for global supply chains, as increased domestic processing can improve supply reliability but policy uncertainty and governance challenges can also create new vulnerabilities.