DRC Bans Copper, Cobalt Concentrate Exports; Prices Surge
The Democratic Republic of Congo has made a dramatic move in the global minerals market, officially banning the export of raw copper and cobalt concentrates as of August 2026. As the world's top producer of cobalt and one of the largest suppliers of copper, the country's decision sent immediate ripples through international commodity markets.
The ban took effect right away, though companies without existing local processing capacity can apply for a one-year waiver while they adjust to the new requirements.
Why Congo Is Making This Move
At the core of the policy is a straightforward economic goal: keep more value inside the country rather than shipping out raw, unprocessed ore. By requiring mining companies to process copper and cobalt domestically, the government hopes to grow local smelting and refining industries, which capture far more profit than simply exporting raw concentrate.
This new order replaces an older export framework from 2023, along with the exemptions that framework had allowed. In effect, Congo is closing loopholes that previously let companies bypass local processing requirements.
New Tax Rules for Mining By-Products
Alongside the export ban, the government has introduced a new tax structure targeting valuable by-products generated during mining operations. These by-products will now be taxed using a 55% valuation coefficient, a notable shift in how the government captures revenue from the mining sector.
Mining operators have been given a three-month transition window to declare these by-products and bring their operations in line with the updated tax rules, giving companies a short runway to adapt rather than an immediate hard deadline.
Copper Prices Race Toward Record Territory
Markets reacted almost instantly. Benchmark three-month copper on the London Metal Exchange jumped as much as 1.8%, touching $14,369.50 per metric ton. That spike pushed prices close to the all-time record of $14,527.50, which was set back on January 29, 2026.
The surge didn't hold entirely, though. As initial market jitters eased, prices pulled back slightly and stabilized around $14,300 per metric ton, still historically elevated but off the immediate peak.
Cobalt's Ongoing Price Squeeze
Cobalt's story adds another layer of context. Prices for the battery metal were already volatile heading into this announcement, largely due to a separate export suspension Congo introduced back in 2025. That earlier intervention had already pushed cobalt prices up sharply, from a low of around $22,000 per ton to somewhere between $54,000 and $55,000 per ton by early 2026.
Congo's continued tight control over supply, including a strict annual quota of 96,600 tonnes for the 2026–2027 period, is helping keep a firm floor under cobalt prices even before factoring in this newest concentrate ban.
Why Markets Reacted So Strongly to Limited Immediate Impact
Interestingly, analysts point out that the sharp price movement reflects concern about future supply risk more than an actual, immediate physical shortage of metal. In other words, markets are pricing in uncertainty rather than reacting to an empty pipeline today.
The companies feeling the most direct strain are international custom smelters, particularly in China, that rely heavily on importing raw, unrefined Congolese concentrate to feed their operations. However, the broader impact on global refined metal supply appears more limited, since most of Congo's copper is already processed domestically into refined cathodes before it ever leaves the country. In the first quarter of 2026 alone, the DRC exported 696,725 tonnes of refined copper cathodes, compared to just 53,926 tonnes of raw concentrate.
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