Claver Gatete, UNECA’s Executive Secretary, declares that global demand for Africa’s cobalt, lithium, graphite, and rare earths surges aggressively.
Africa possesses 55% of global cobalt, 48% of manganese, and 22% of graphite. The DRC supplies 70% of cobalt, while Madagascar holds 26 million tons of graphite.
By 2040, lithium demand will climb 40 times, graphite 25 times, and cobalt 20 times. These minerals drive batteries, renewables, and technology. Nations compete fiercely to secure Africa’s wealth, prioritizing economic and strategic gains.
China aggressively locks in mining rights, refining 67% of cobalt and 90% of rare earths. Its $6 billion Sicomines deal in the DRC emphasizes resource access over local benefits.
Chinese firms control 80% of DRC’s cobalt output, ensuring supply chain dominance.
The United States pursues strategic deals to counter China. Through the Minerals Security Partnership, it secures African minerals, mirroring Ukraine agreements.
This approach prioritizes technology and defense needs, often sidelining African economic interests. Meanwhile, the European Union builds equitable partnerships, funding the ALSF to strengthen African contract negotiations.
It supports local processing in Zambia, aiming for sustainable growth. Canada and Australia invest in mining, promoting job creation. Australia’s $1 billion graphite project in Tanzania fosters technology transfer. Canada’s investments in the DRC emphasize local training.
Africa’s Mineral Wealth
These align with Africa’s Mining Vision, which demands transparent resource management.
Since 2008, the ALSF assists 50 nations, saving $15 billion through fairer contracts.
In Guinea, it raises royalties to 10%. In Niger, it audits mining laws effectively. In Lesotho, it strengthens governance frameworks. However, the ALSF relies on 80% donor funding, limiting independence. Gatete urges African governments to contribute financially.
This ensures sovereignty in negotiations and sustainable operations. Many African governments lack legal expertise, signing unfavorable deals.
These agreements favor foreign firms, risking environmental and economic losses. In the DRC, cobalt mining pollutes water, affecting 20,000 people yearly.
Historically, colonial extraction enriched foreign powers, leaving Africa poor. Today, unfair contracts could repeat this “resource curse.” Yet, equitable deals could transform economies, creating 40,000 jobs in battery production.
Nigeria and Zambia push local processing to climb the value chain. The African Continental Free Trade Area fosters regional cooperation. These efforts aim to maximize Africa’s $5.4 trillion mineral market by 2035.
The rush shapes global technology and energy markets. Africa’s minerals fuel electric vehicles and renewables worldwide. Unfair deals could deepen poverty and dependency, destabilizing economies.
Conversely, strong governance and fair partnerships could fund schools, hospitals, and infrastructure. Africa’s choices will determine if its wealth drives prosperity or enriches foreign powers. The mercantile battle tests Africa’s ability to leverage its resources for economic sovereignty.
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