The Trump administration expressed strong interest in developing Africa’s mining sector, emphasizing minerals, mineral extraction, and mineral processing. On the first day of his second term, President Trump signed an executive order prioritizing these aspects, mainly focusing on domestic extraction.
However, the order also referenced international partnerships, signaling potential collaborations with African nations. Scott Woodard, acting deputy assistant secretary of state for energy transformation, highlighted this at an African mining conference in Cape Town, South Africa, reinforcing U.S. intentions to engage in the region’s resource development.
Balancing Extraction and Industrialization
During the conference, moderator Zainab Usman questioned whether the U.S. recognized Africa’s desire for industrialization through value-added projects rather than just raw material extraction. While Woodard acknowledged the importance of this aspect, he indicated that the Trump administration was still formulating its policies.
This response suggests that while the U.S. is eager to access African minerals, the strategic direction for ensuring mutual benefits remains under development. The challenge lies in aligning U.S. business interests with Africa’s goal of processing and manufacturing raw materials locally.
The U.S. has been actively investing in Africa’s mineral sector through institutions like the Export-Import Bank. A notable example of this commitment was the 2022 agreements with the Democratic Republic of Congo and Zambia to establish a supply chain for electric vehicle batteries, capitalizing on Africa’s rich deposits of copper, lithium, and cobalt.
Additionally, the U.S. has contributed to the Lobito Rail Corridor project, facilitating mineral transportation from Congo, Zambia, and Angola to the west coast. These initiatives underscore the American focus on securing critical minerals for the global clean energy transition.
Africa’s Infrastructure Challenges and U.S. Support
Infrastructure remains a major challenge for Africa’s mining sector, with an estimated $350 billion financing gap. Zambia’s transport minister, Frank Tayali, emphasized that improving infrastructure is key to economic growth and poverty reduction.
The U.S. has stepped in to support development efforts, particularly in transportation networks essential for mining exports. In contrast, China has invested in rehabilitating the Tanzania-Zambia Railway Authority (TAZARA) to strengthen East African trade routes, reflecting broader competition between global powers in Africa’s resource sector.
In South Africa, logistical bottlenecks at the state-owned Transnet railway system are hindering the mining sector. The Minerals Council of South Africa acknowledges the pressing need for investment to revamp the deteriorating rail network.
To address funding concerns, Transnet is exploring public tenders and engaging mining companies for possible investments through tariff adjustments. By allowing private operators access to the railway system, South Africa aims to enhance efficiency and attract capital, ensuring that its mining sector remains competitive.