A billion-dollar expansion of Africa’s most important US-backed critical minerals transport project is now in jeopardy due to a freeze on foreign aid imposed by the Donald Trump administration.
The Lobito Corridor railway project, aimed at transporting cobalt and copper from the Central African Copperbelt, which mainly includes the Democratic Republic of Congo (DRC) and Zambia, to the Angolan coast for export to Western markets, is facing uncertainty after crucial US funding was suspended. This vital infrastructure initiative was backed by the US International Development Finance Corporation (DFC) and USAID, but the freeze has left project developers and officials concerned about the future of the project. The funding cut affects feasibility studies, technical services, and essential early-stage payments. The railway, which is linked to the DRC’s own rehabilitation plans, was expected to boost Africa’s mineral exports, especially given the region’s rich cobalt and copper deposits.
While the United States remains committed to the project, the financial halt opens up the possibility for China to step in. Over the past few decades, China has expanded its influence across Africa, offering substantial investments in infrastructure and mineral projects. Analysts warn that if Washington fails to maintain its support, African nations may increasingly turn to China’s more consistent financial backing, potentially strengthening Beijing’s hold over the continent’s resource sector.
The situation highlights the growing competition for Africa’s valuable minerals. As China continue its investments, especially in cobalt-rich nations like the DRC, US policy uncertainty could result in the loss of strategic influence over critical mineral supply chains. With growing interest from China, but increasingly also Gulf states, Washington must carefully navigate these shifting alliances.