The global demand for cobalt is projected to rise by more than 10% in 2025, according to the latest quarterly report from the Cobalt Institute, signaling a fresh wave of industrial and geopolitical interest in one of Africa’s most strategically significant minerals.
The forecast pegs demand at approximately 227,000 tonnes, up from 205,000 tonnes in 2024, with electric vehicles (EVs), consumer electronics, and high-performance superalloys driving the spike.
As the world doubles down on electrification and clean energy transitions, cobalt’s role in lithium-ion batteries remains indispensable.
The mineral is used extensively in EV batteries for its stability and energy density, making it a critical component in efforts to decarbonize transportation.
Electric Vehicles Drive the Uptick
A central driver of this growth is the global EV market. According to the Institute, EV sales in the first quarter of 2025 saw impressive surges 36% in China, 22% in Europe, and 16% in the United States.
This upward trajectory is pushing manufacturers and suppliers to secure reliable sources of battery-grade cobalt.
“Increasing cobalt demand is tightly linked to global EV adoption, and we expect this to remain a dominant factor for the foreseeable future,” the report noted.
Consumer Electronics and Industrial Applications
Beyond electric mobility, cobalt demand is also being fueled by the ever-expanding consumer electronics market. From smartphones to laptops and tablets, the battery demands of modern devices continue to require stable cobalt supplies.
Industrial demand is also climbing. Superalloys used in aerospace and high-performance machinery are forecast to see a 5% year-on-year growth in 2025, adding further pressure on global cobalt supply chains.
Africa’s Central Role Amid DRC Export Controls
Africa, particularly the Democratic Republic of Congo (DRC), remains the undisputed center of global cobalt production, supplying nearly 75% of the world’s output.
However, a four-month suspension of cobalt exports announced by the DRC in February 2025 has added volatility to the global supply picture.
The Congolese government cited the need to address oversupply and stabilize falling cobalt prices, a move that briefly caused prices to spike on international markets.
Although prices have since stabilized, the decision underscored the strategic importance of Africa’s cobalt reserves and the political and economic complexities that surround them.
Balancing Demand with Surplus
Despite the bullish demand outlook, the cobalt market is expected to remain in surplus, though a narrowing one. Analysts project a 28,000-tonne surplus in 2025, down from 53,000 tonnes in 2024, as supply chain adjustments begin to align with consumption growth.
For African economies, this presents both opportunity and responsibility. Nations rich in cobalt and other battery minerals are now poised to attract greater foreign investment, build domestic processing capacity, and strengthen regulatory frameworks to ensure sustainable, inclusive growth.
Conclusion: Strategic Implications for Africa
As the world races toward a low-carbon future, cobalt’s relevance is only set to intensify. For Africa particularly countries like the DRC, Zambia, and Madagascar this moment presents a historic opportunity to lead in the global energy transition while leveraging mineral wealth for long-term development.
But realizing this promise will require more than just mineral abundance. Transparent governance, infrastructure investment, value-added processing, and environmental stewardship will be crucial in transforming cobalt from a raw export into a cornerstone of African industrialization.
