https://newsletter.mw.creamermedia.com
Copper|Export|Resources
Copper|Export|Resources
copper|export|resources

Top cobalt trader declares force majeure after Congo export halt

1st July 2025

By: Bloomberg

  

Font size: - +

The trading unit of CMOC Group — the world’s biggest producer of cobalt — has declared force majeure on deliveries of the battery metal, after the Democratic Republic of Congo extended a ban on exports.

Congo — which accounts for about three-quarters of global cobalt supply — initially suspended exports for four months on February 22, before extending it by three further months earlier in June. Cobalt prices have slumped in recent years on the back of surging output in the country, particularly from two large mines operated by China’s CMOC.

IXM SA, which is owned by CMOC, “formally declared force majeure under its cobalt supply contracts due to the ongoing export ban,” the trading house said in a statement on Monday, confirming an earlier Bloomberg report. The halt to shipments has “rendered it legally and practically impossible” for CMOC’s copper and cobalt mines to supply IXM, it said.

While Congo said it prolonged the measures “due to the continued high level of stock on the market,” IXM’s actions show the increasing strain on flows of cobalt hydroxide, the main product exported from the central African nation. So-called force majeure clauses allow companies to suspend deliveries because of events beyond their control.

A spokesperson for CMOC confirmed the decision taken by IXM, while the Congolese regulatory body overseeing the ban didn’t immediately respond to a request for comment.

Congo’s government wants to exert greater influence over cobalt prices by aligning supply with global demand. Analysts have warned that too-stringent controls and soaring prices could hasten a shift by manufacturers toward EV batteries that don’t use the metal. CMOC has made similar arguments to the authorities.

The largest producers of cobalt after CMOC are commodities giant Glencore Plc and Kazakhstan-backed Eurasian Resources Group Sarl, which both own major assets in Congo. Telf, the marketing agent of ERG’s cobalt, declared force majeure on supply contracts in March.

“As the global cobalt supply chain faces heightened volatility, IXM remains committed to navigating this disruption responsibly,” the trading firm said in the statement.

Edited by Bloomberg

Comments

Latest News

RDG placed in voluntary administration
RDG placed in voluntary administration
28th July 2025 By: Mariaan Webb

Showroom

Rentech
Rentech

Rentech provides renewable energy products and services to the local and selected African markets. Supplying inverters, lithium and lead-acid...

VISIT SHOWROOM 
ATI Systems
ATI Systems

ATI systems comprises five divisions: electrical assemblies, drives and controls, feedback sensors, enclosures, and strip guiding.

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Photo of Martin Creamer
On-The-Air (25/07/2025)
25th July 2025 By: Martin Creamer
Magazine round up | 25 July 2025
Magazine round up | 25 July 2025
25th July 2025

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.136 0.21s - 126pq - 2rq
Subscribe Now