(Ecofin Agency) - Congolese officials are divided about setting export restrictions as technologies for cobalt-free electric vehicle batteries rapidly advance.

The Democratic Republic of Congo (DRC) has sought input from several international industry organizations and foreign research bodies on potentially implementing cobalt export quotas to drive up prices. Bloomberg reported the news on Thursday, April 11, 2024, citing sources familiar with the matter.

During a ministerial council held in February, Congolese President Félix Tshisekedi tasked then-Prime Minister Sama Lukonde with examining "the need to introduce export quotas or any other measure to secure a fair price for cobalt, charging a regulatory body with helping to design possible strategies," the same source said.

However, Congolese officials involved in the mining industry are divided on the wisdom of introducing export restrictions, according to sources cited by Bloomberg. Some view it as a necessary response to oversupply, while others fear it could make cobalt less attractive for use in batteries as cobalt-free electric vehicle batteries become increasingly popular.

Cobalt prices have fallen by about two-thirds since mid-2022, largely due to global supply outpacing demand.

The DRC accounts for roughly 70% of global cobalt production.