DRC Copper Export Ban Injects Fresh Bullish Impetus into Market

A recent Ministerial Order from the Democratic Republic of Congo (DRC) has banned the export of copper and cobalt concentrates, introducing a new tax regime in the process.

The policy shift is unlikely to have a material impact on either the global copper or cobalt market, but could add a near-term risk premium to copper prices as details are clarified.

BMI, a Fitch Solutions company, points out that since 2015, the DRC has operated a de facto ban on exports of unbeneficiated copper and cobalt concentrates with ad hoc exemptions granted.

The new policy shifts this to a de jure ban with tighter rules around waivers and exemptions for export of concentrates.