Chinese investors have committed more than US$16 billion to mineral processing and manufacturing projects across Africa, according to a report by the Beijing-based consultancy Development Reimagined. This investment comes as African nations increasingly seek to secure a larger share of earnings from their natural resources.
According to the report, the continent is a major international supplier of key minerals such as copper, cobalt and iron ore, and countries such as the Democratic Republic of Congo, Guinea and Zimbabwe have previously introduced mineral export bans or restrictions to encourage domestic processing.
Development Reimagined analyzed China’s commitments under an action plan agreed following the China-Africa Cooperation summit in 2024. The study found that up to June this year, a total of US$41.2 billion had been invested in 32 mining, exploration and development projects in 15 countries.
Of those projects, 19 involved “mineral value addition, meaning processing, refining or manufacturing in Africa rather than extraction alone,” totaling US$16.3 billion in investment. The report said, “Most projects therefore involve value addition, which shows that African governments are generally pursuing it, and the lower share by value reflects a small number of very large deals in which commitments to process minerals in Africa are limited or still to be confirmed.” These projects accounted for about 40 per cent of the total value tracked and included the US$23 billion Simandou iron ore development in Guinea, the world’s largest of its kind.
While China expands its footprint, Washington is also seeking greater access to African critical minerals. This includes a deal signed in December last year that secured preferential access to designated mining assets in the DR Congo for American companies. Additionally, US-linked bidders are also competing for the rights to develop Kenya’s Mrima Hill, which is rich in rare earths and niobium.
John Calabrese, a non-resident senior fellow at the Washington-based Middle East Institute, said Beijing was pursuing commercial interests and strategic influence while presenting itself as a partner in Africa’s industrialisation. He said more cooperation on higher-value production would strengthen China’s existing position while opening up new opportunities for its manufacturing and infrastructure firms.
