TFIGlobal
TFIGlobal
TFIPOST English
TFIPOST हिन्दी
No Result
View All Result
  • Indo-Pacific
  • Americas
  • Canada
  • Indian Subcontinent
  • West Asia
  • Europe
  • Africa
  • The Caribbean
TFIGlobal
  • Indo-Pacific
  • Americas
  • Canada
  • Indian Subcontinent
  • West Asia
  • Europe
  • Africa
  • The Caribbean
No Result
View All Result
TFIGlobal
TFIGlobal
No Result
View All Result
  • Indo-Pacific
  • Americas
  • Canada
  • Indian Subcontinent
  • West Asia
  • Europe
  • Africa
  • The Caribbean

DRC Chinese mining contracts: “Pay us or get out,” DRC’s message to China

Michael Mahanta by Michael Mahanta
April 13, 2023
in Africa, Geopolitics
DRC Chinese mining contracts
Share on FacebookShare on X

DRC Chinese mining contracts: It is well-known that China has been aiming to expand its influence in the African continent to secure access to its vast natural resources. In the case of the Democratic Republic of Congo, China has heavily invested in the country’s mining sector, and many Chinese companies operate in the African country. In fact, Chinese investors almost dominate the DRC’s mining sector, accounting for almost 70%.

On the other hand, the DRC is one of the largest producers of copper and cobalt. It is by far the world’s largest producer of cobalt, accounting for roughly 70% of global production. In a significant development, the DRC has announced plans to conduct an audit and review of mining contracts with Chinese companies operating in the country. The move comes amid concerns that the Chinese mining contracts are “unfair” to the African country and DRC.

Also Read

Putin’s show of strength, as global leaders gather for Victory Day Parade

China Loosens Monetary Policy to Brace for New Trade War Front

Global Tensions Rise as Arctic Resource Race Escalates

DRC all set to review Chinese mining contracts

According to a report, the DRC has initiated a comprehensive review of mining contracts awarded to a Chinese firm it co-owns with Beijing, citing continual concerns raised by the government about the fairness of the firm’s work and profits. The Chinese mining contracts, according to the DRC finance minister, Nicolas Kazadi, are heavily skewed in favor of the Chinese. The minister pledged that Kinshasa would correct all tax obligations that it believes were too lenient on the Chinese.

Read More: Ghana, Sierra Leone, DRC and Kenya crush China’s African domination dreams

The Sicomines SA project, which gave Chinese partners mining rights to cobalt and copper in the DRC, was the largest Chinese investment project in Africa when it was agreed upon in 2007. However, it has been criticized for being too one-sided and not providing sufficient benefits to the DRC.

DRC Chinese mining contracts (Source: South China Morning Post)

The DRC is finally taking action, according to Kazadi. After a government audit report was released at the end of February, Sicomines SA is refusing to pay the $200 million it is being asked to pay, despite making a super-profit.

Kazadi further stated that “they have to pay because it is so clear that this tax is not one of the taxes exempted in the contract.” Chinese economic interests represent the might of the mining sector in the DRC, with 80% of the country’s mining exports destined for China. According to the Inspectorate General of Finance’s report, Chinese companies have already earned at least $10 billion from contracts in the last decade, while Kinshasa has only benefited $822 million in infrastructure.

(Source: Financial Times)

With Sicomines contesting the report’s contents and the DRC’s decision to audit and review the Chinese mining contract, tensions are likely to escalate. The DRC’s move could also set a significant precedent for other African countries.

Read More: All China-operated mines across the world are getting shut down

https://www.youtube.com/watch?v=x5g_h0OPIUI

Tags: ChinaDRCFelix TshisekediKinshasaNatural ResourcesSicomines
ShareTweetSend
Michael Mahanta

Michael Mahanta

Columnist, TFI Media. Creating art through my articles.

Also Read

India’s S-400 System Downs Pakistani F-16 and JF-17 Jets

India’s S-400 System Downs Pakistani F-16 and JF-17 Jets

May 8, 2025
‘Rocketman’ Kim Jong Un, unleashes ballistic missile barrage into the sea of Japan

‘Rocketman’ Kim Jong Un, unleashes ballistic missile barrage into the sea of Japan

May 8, 2025
China outmanoeuvres Trump? Albanese emerges victorious in the Australian elections

China outmanoeuvres Trump? Albanese emerges victorious in the Australian elections

May 8, 2025
China's Proxy War in South Asia: Arming Pakistan and Spreading Disinformation"

China’s Proxy War: Arming Pakistan and Misinformation Tactics

May 8, 2025
Putin’s show of strength, as global leaders gather for Victory Day Parade

Putin’s show of strength, as global leaders gather for Victory Day Parade

May 8, 2025
Global Tensions Rise as Arctic Resource Race Escalates

Global Tensions Rise as Arctic Resource Race Escalates

May 7, 2025
Youtube Twitter Facebook
TFIGlobalTFIGlobal
Right Arm. Round the World. FAST.
  • About Us
  • Contact Us
  • TFIPOST – English
  • TFIPOST हिन्दी
  • Careers
  • Brand Partnerships
  • Terms of use
  • Privacy Policy

©2025 - TFI MEDIA PRIVATE LIMITED

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Add New Playlist

No Result
View All Result
  • Indo-Pacific
  • Americas
  • Canada
  • Indian Subcontinent
  • West Asia
  • Europe
  • Africa
  • The Caribbean
TFIPOST English
TFIPOST हिन्दी

©2025 - TFI MEDIA PRIVATE LIMITED

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. View our Privacy and Cookie Policy.