A continent that for decades supplied the world with unprocessed raw materials is turning toward processing its own resources. Over the past year, the number of such facilities in Africa has grown by almost a third. However, most output still leaves the continent in the form of concentrates, and China is establishing itself as the key partner in this shift.
African countries are tired of handing added value to others. Namibia has banned exports of unprocessed lithium, cobalt, and graphite. Zimbabwe has closed exports of raw mineral materials. The DR Congo has introduced cobalt quotas. Access to subsoil resources is now conditional on commitments: build plants, create jobs, keep the value in-country.
Chinese companies see this as a window of opportunity. Their participation in African projects grew from 10 to 15 over the year. They are building capacity in Guinea and Zimbabwe and investing in the processing of aluminum raw materials and lithium. For Beijing, this is a way to secure access to resources through infrastructure rather than one-off supplies.
In total, Africa has 101 critical mineral processing facilities, up from 79 a year earlier. But 76 of them are located in just three countries: the DR Congo, South Africa, and Zambia. The DR Congo showed the most notable growth, from 14 to 29 facilities. Copper and cobalt processing is developing fastest.
Full industrialization is held back by a lack of technology, stable power supply, and sales markets within the continent. For now, a significant share of output is exported as concentrates and intermediate products rather than finished metals.
Africa is changing the rules of the game, turning resources into leverage for developing its own industry. But without energy, technology, and demand within the continent, processing will remain an intermediate link rather than a full-fledged industry.
Source: Global Mining Review
Image: nevsedoma.com.ua
