What's Happening?
Global cobalt production is projected to grow significantly, driven by increased output from the Democratic Republic of Congo (DRC) and Indonesia. In 2025, global production reached 330 kilotonnes, with the DRC accounting for 72% and Indonesia 14.9%.
By 2026, production is expected to rise to 352.8 kilotonnes. The DRC's growth is supported by high-grade feed from major projects like Glencore's Mutanda and the Musonoi underground project. Indonesia's rise is attributed to investments in high-pressure acid leach facilities, with new projects like Pomalaa and Morowali set to commence.
Why It's Important?
Cobalt is a critical component in battery production, essential for electric vehicles and renewable energy technologies. The DRC's dominance in cobalt supply highlights the geopolitical importance of securing stable and ethical sources. Indonesia's emergence as a significant player diversifies the global supply chain, potentially reducing reliance on any single country. This growth supports the global transition to clean energy, aligning with international climate goals.
What's Next?
The focus will be on ensuring sustainable and ethical cobalt production, addressing environmental and social concerns. Countries like Australia and Canada are expected to increase their production shares, supported by government policies favoring critical minerals. The global market will likely see increased competition and investment in cobalt projects, with stakeholders monitoring developments closely.
