Africa Launches Resource Diplomacy Including Rare Earths

Africa, rich in important minerals such as rare earths, has launched a new form of resource diplomacy. It’s no longer simply about exporting produced minerals, but rather about attracting foreign investment and increasing added value through local processing. Cooperation between various countries and Africa will provide an opportunity to break China’s monopoly on the mineral resource market.

In Namibia, a southwestern African country with the vast Namib Desert, lie dormant rare earth elements dysprosium and terbium. Japan and Namibia are conducting joint exploration to determine if there are large reserves.

Namibia prohibits the export of unprocessed rare earths, lithium, and cobalt. The aim is to attract mineral processing and refining facilities to the country, creating local employment opportunities. Namibian Minister of International Relations and Trade, Selma Asipala-Mousavii, stated, “We hope to establish mutually beneficial economic relations and promote joint mineral development.”

The global rare earth supply chain is dominated by China. China not only accounts for approximately 60% of mining output but also imports from other producing countries, strengthening its market dominance through domestic processing and refining. Statistics from the International Energy Agency (IEA) show that China holds a 91% share in the refining process.

China’s market dominance extends to other important minerals. Approximately 75% of the cobalt used in lithium-ion batteries is mined in the Democratic Republic of Congo, with 99% shipped to China unprocessed. In the refining process, China accounts for nearly 80% of the global market share.

Africa possesses abundant mineral resources. For example, in addition to Namibia, Tanzania and Madagascar also have reserves of rare earth elements. Tantalum, essential for the aerospace and defense industries, has most of its reserves located in China, but it is also produced in Congo and Nigeria. The African continent also possesses 38% of the world’s manganese and 25% of its natural graphite.

Having been a raw material supplier during the colonial era, Africa retains its original economic structure, with unprocessed resources still largely controlled by China and Europe. Analysis from Boston University shows that nearly 90% of Africa’s exports to China come from minerals, oil, and gas.

At the African Union and EU summit in November 2025, African discontent surfaced. Faced with the EU’s demands for access to key minerals, Africa is demanding not only the transport of unprocessed minerals but also the diversification of its local economy and industrial upgrading. The EU has been forced to pledge support for local mineral processing.

The availability of mining sites for key minerals such as rare earth elements is also limited. This is why China, which controls these minerals through processing and refining, can use export controls as a “weapon.” On February 24, the Chinese government banned the export of dual-use items, including rare earth elements, to Japan.

Africa’s pursuit of joint development and local processing of minerals will also become a breakthrough for developed countries like Japan, the US, and the EU in breaking China’s monopoly. Naoki Goto, chief resident of the Japan Bank for International Cooperation (JBIC) in London, stated, “It can be said that utilizing resources to achieve economic growth, industrial upgrading, and job creation is a long-held aspiration of Africa.”

Demand for key minerals essential for the production of electric vehicles (EVs), wind power equipment, and smartphones will also increase in the future. From an economic security perspective, the joint support of the Japanese government and private sector for processing and refining in Africa is becoming increasingly important in securing key mineral resources.