The Democratic Republic of Congo has extended its ban on cobalt exports for an additional three months in a bid to stabilise the market and curb the ongoing oversupply of the critical electric vehicle battery component, a regulatory agency confirmed on Saturday.
DR Congo is the world’s leading supplier of cobalt, first introduced the four-month suspension in February after the metal’s price plunged to a nine-year low, trading at just $10 per pound. The ban was initially scheduled to expire on Sunday.
In a statement, the Authority for the Regulation and Control of Strategic Mineral Substances’ Markets (ARECOMS) explained the rationale behind the extension: “The decision has been taken to extend the temporary suspension due to the continued high level of stock on the market.”
The regulator also indicated that a further decision would be made before the new September deadline, with the potential to either modify, prolong or terminate the suspension based on evolving market conditions.
As reported by Reuters on Friday, Congolese officials have been weighing an extension of the export ban while deliberating on a quota system to regulate the volume of cobalt shipments allocated to mining companies.
A proposal to introduce such quotas has received support from several producers, including Glencore, the world’s second-largest cobalt supplier. However, the approach has been met with opposition from China’s CMOC Group, the top global producer, which has continued to advocate for the immediate lifting of the ban.
The diverging positions among major industry players underscore the complex balance Congolese authorities must strike between managing market prices, ensuring fair access for mining firms, and maintaining the country’s pivotal role in the global energy transition.