Aluminum price soars as China cancels tax incentive on exports
The export tax rebate was also removed for copper and lowered for some refined oil, solar, battery and non-metallic mineral products.
Chinese dominance over critical minerals used in technologies like smartphones, electric vehicles (EVs), and solar power has become a growing concern for the U.S. and other Western countries.
Currently, China refines 68% of the world’s nickel, 40% of copper, 59% of lithium, and 73% of cobalt, and is continuing to expand its mining operations.
This graphic by Visual Capitalist Elements visualizes the total cobalt supply from the top 10 producers in 2030, highlighting China’s dominance.
Cobalt is a critical mineral with a wide range of commercial, industrial, and military applications. It has gained significant attention in recent years due to its use in battery production. Today, the EV sector accounts for 40% of the global cobalt market.
The Democratic Republic of Congo (DRC) currently produces 74% of the world’s cobalt supply. Although cobalt deposits exist in regions like Australia, Europe, and Asia, the DRC holds the largest reserves by far.
China is the world’s leading consumer of cobalt, with nearly 87% of its cobalt consumption dedicated to the lithium-ion battery industry.
Although Chinese companies hold stakes in only three of the top 10 cobalt-producing countries, they control over half of the cobalt production in the DRC and Indonesia, and 85% of the output in Papua New Guinea.
Given the DRC’s large share of global cobalt production, many Chinese companies have expanded their presence in the country, acquiring projects and forming partnerships with the Congolese government.
According to Benchmark, Chinese companies are expected to control 46% of the global cobalt mined supply by 2030, a 3% increase from 2023.
By 2030, the top 10 cobalt-producing countries will account for 96% of the total mined supply, with just two countries—the DRC and Indonesia—contributing 84% of the total.
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