Fears that DR Congo’s cobalt quotas could deepen corruption

Fears That DR Congo’s Cobalt Quotas Could Deepen Corruption

New cobalt export quotas, designed to regain national control, risk fostering corruption and rent-seeking activities. Along the worn road stretching from the Copperbelt’s open mines to the Democratic Republic of Congo (DRC) border with Zambia, overloaded trucks carry cobalt hydroxide, a critical material for lithium-ion batteries powering smartphones and electric vehicles (EVs).

These trucks pass through multiple checkpoints—some official, staffed by armed personnel, others driven by opportunism—negotiating their passage amid a complex, fragmented system.

Government’s Policy Shift

After imposing an unexpected export ban for eight months, the DRC government introduced export quotas for cobalt in October. The goal is to limit supply to raise prices, increase national revenue, and encourage local investment by miners.

Potential Consequences

However, experts and industry insiders interviewed by African Business warn that quotas combined with inconsistent enforcement could exacerbate the very losses the government hopes to prevent. Earlier, the total export ban was imposed in response to a market surplus that had driven cobalt prices down to around $10 per pound.

Though prices have somewhat rebounded to $15, many regard the ban as a temporary solution that fails to address underlying issues.

"Quotas layered atop a fragmented enforcement system could multiply the very leakages the government aims to plug."

This shifting policy highlights the DRC’s struggle to balance resource sovereignty with combating corruption within its cobalt sector.

Author’s summary: The DRC’s new cobalt export quotas aim to increase revenues and local investment but risk worsening corruption and smuggling due to weak enforcement and fragmented controls.

African Business — 2025-11-04