US and Congo Agreement on Critical Minerals

US and Congo enter Critical-Minerals and Security Agreement

The US and DR Congo signed a broad critical-minerals and economic-security agreement that gives US buyers preferential access to minerals from state-owned Congolese firms and paves the way for around $1bn in financing and investment from US agencies and Swiss trader Mercuria. The deals include DFC backing for the Lobito Railway and a marketing joint venture to sell Gécamines’ copper and cobalt with US first-refusal rights. The moves aim to secure supply chains of copper, cobalt and other critical minerals, but come amid fragile regional tensions and renewed fighting involving Rwanda-allied M23 rebels.

Washington and Kinshasa agreed a critical minerals pact granting US companies preferential treatment and supporting strategic mineral reserves and infrastructure (eg, Grand Inga Dam, Lobito Railway).  The US International Development Finance Corporation (DFC) intends to provide about $1bn for the Lobito Railway and related projects; Mercuria announced $1bn in investment and pre-financing/credit lines. In addition, a joint marketing venture with Gécamines and first-refusal rights for US buyers aim to increase US access to Congolese copper, cobalt and other minerals.  Gécamines holds minority stakes in major mines (eg, Tenke Fungurume) and controls material copper production; Chinese firms remain the largest producers in the DRC.

The agreements follow a fragile peace treaty with Rwanda but coincide with renewed fighting and refugee flows, raising questions about stability and the success of private-sector partnerships.

Geopolitical Implications

How the United States, under Donald Trump, is trying to counter Chinese dominance in the Democratic Republic of Congo’s mining sector by striking deals (the “Washington Accords”) that open Congolese mineral deposits to American firms. Companies like KoBold Metals are seeking lithium and other critical minerals despite Congo’s entrenched corruption, fragmented bureaucracy and ongoing conflict (including areas controlled by M23 rebels and influenced by Rwanda). While U.S. political backing has made some investment easier and reduced pressure to pay bribes, legal uncertainty, informal revenue collection, ownership disputes and fragile peace mean turning exploration into large-scale, reliable mining remains risky — and China’s deep foothold will be hard to dislodge. Key points:

-Strategic motive: The U.S. aims to diversify supply of 60 “critical minerals” (lithium, cobalt, copper, coltan) away from China by securing Congolese access for American firms and creating a “strategic asset reserve” (SAR).

-Early moves: KoBold (American) won an exploration license at Manono; other Western deals (e.g., Mercuria with state miner Gecamines) signal increased Western activity.

Enduring obstacles: Widespread corruption, ad hoc tax/royalty arrangements, multiple authorities collecting revenue, frequent permit withdrawals and a history of litigation make lawful operations difficult.

-Security and politics: Many deposits lie in conflict zones (areas under M23/Rwanda influence), and weak enforcement of ceasefires/peace deals may prevent actual access; U.S. political leverage helps but may be insufficient long-term.

-China’s advantage: China still controls around 80% of Congo’s mining output (as of 2025) and has longstanding investments, so displacing it will require sustained political will, successful mine development and improved on-the-ground security/governance.

Recent DCF Loan Agreement Finalized

The U.S. International Development Finance Corporation (DFC) signed a $553 million loan with a consortium (Lobito Atlantic Railway: Portugal’s Mota Engil, Trafigura, Vecturis) to refurbish Angola’s Benguela rail line as part of the Lobito critical minerals corridor. The Development Bank of Southern Africa will add $200 million. The project will rehabilitate Lobito port, boost capacity tenfold to 4.6 million tonnes, cut transport costs up to 30%, and connect copper and cobalt mines in Zambia and the DRC to the Atlantic, as part of a U.S. effort to secure critical metals and counter Chinese-backed regional rail rivals. Key goals:

-DFC loan: $553 million to Lobito Atlantic Railway; DBSA contributing $200 million.

– Goal: refurbish Benguela line, expand Lobito port, increase capacity and lower mineral transport costs.

-Corridor scope: links existing 1,300 km Benguela line in Angola with new 515 km in Zambia and 315 km in DRC to reach mines.

-Strategic context: U.S. push to secure access to critical minerals and counter China’s influence (e.g., China-backed Tanzania–Zambia railway).