By: African news

The Democratic Republic of the Congo and the United States have signed a high-profile deal focused on critical minerals, establishing a framework for economic cooperation and secure supply chains. A central feature of the agreement is the creation of a Strategic Mineral Reserve (SMR), designed to ensure a predictable supply of minerals like cobalt—of which the DRC is the world's leading producer—for the United States, while granting American entities preferential treatment in their exploitation and commercialization.

The deal places the DRC at the center of strategic competition between the world's two largest economies, as it already has substantial mining engagement with China. Analysts suggest the agreement aims to curtail the expansion of Chinese mining operations by securing political, fiscal, and regulatory incentives for American miners and investors.

Commentators, such as political economy analyst Geraud Neema, highlight that while such agreements promise transformation, African governments often face challenges in negotiating mining deals that maximize national value and retain leverage. The broader context underscores a global race for Africa's vast copper, cobalt, and lithium reserves, raising questions about who the ultimate winners and losers of such mineral diplomacy will be.