The Zimbabwean government has recently released the "Mineral Classification and Declaration," officially categorizing 14 minerals—including lithium, nickel, cobalt, graphite, copper, rare earth elements, chromium, platinum group metals (PGMs), manganese, antimony, uranium, ruthenium, tungsten, and niobium—as "critical minerals" subject to equity and export controls. The policy also establishes the principle that the state will exercise a mandatory minimum equity stake through designated Special Purpose Vehicles (SPVs).

This move is seen as an imitation of Indonesia’s nickel industry roadmap, aiming to gain control over the global supply chain of critical minerals by banning raw ore exports, mandating foreign investors to build smelting facilities, and securing state equity stakes.

Although the declaration currently remains a framework agreement and specific details such as exact equity percentages are yet to be finalized, it has already drawn significant attention among Chinese lithium enterprises operating in Zimbabwe. Some companies have revealed that local projects have already seen government ownership, with actual stakes reaching up to 15%. The new policy primarily targets newly applied-for mining rights, while existing mines remain unaffected for now.

Zimbabwe announces mandatory minimum state ownership on 14 "critical minerals"

On May 27, reporters from Everyday Economic News learned from authoritative local media in Zimbabwe and Xinhua News Agency that the Zimbabwean government recently issued the "Mineral Classification and Declaration." It explicitly lists lithium and other high-value minerals as "critical minerals" under equity and export controls. A total of 14 key minerals are involved: lithium, nickel, cobalt, graphite, copper, rare earth elements, chromium, platinum group metals (PGMs), manganese, antimony, uranium, ruthenium, tungsten, and niobium. This classification was developed based on five criteria: supply chain vulnerability (high risk of disruption and potential conflict), international high demand coupled with domestic advantage, role as foundational raw materials for domestic and overseas manufacturing, capacity to generate employment and economic benefits, and low abundance but high value.

Zimbabwe has established the principle that the state will enforce a mandatory minimum equity stake in critical mineral extraction via designated Special Purpose Vehicles (SPVs). Although the declaration does not yet specify exact percentage figures, it stipulates that no entity may extract any mineral listed in the classification without the state being a co-owner.

African financial media Equity Axis and Zimbabwe’s authoritative mining publication Mining Zimbabwe analyzed this new policy, noting its resemblance to Indonesia’s "Nickel Industry Roadmap"—a strategy that banned nickel ore exports, forced foreign investors to establish smelting plants, and secured state equity through state-owned enterprises, ultimately gaining control over more than 40% of global refined nickel capacity. While Indonesia took nearly a decade to implement this model, Zimbabwe's "copycat" approach has been executed in less than three months. However, these analyses emphasized that the current declaration is still a framework agreement, not final legislation. Market participants and mining firms must closely monitor upcoming key implementation regulations, including: precise equity percentages for SPVs across different mineral types; a clear definition of "processing" versus "raw" beneficiation grades; transitional plans allowing continued exports during factory construction; and detailed mechanisms for enforcement and penalties for violations.

Since April this year, restrictions on lithium ore exports from Zimbabwe have drawn considerable market attention. Previously, export limitations mainly focused on requirements to establish on-site beneficiation facilities. The latest policy, however, introduces the concept of state equity ownership.

Multiple sources: New policy mainly affects newly applied-for mining rights, with minimal impact on existing mines

Zimbabwe holds a significant position in the global lithium supply chain. According to public data, Zimbabwe’s lithium production is expected to reach 28,000 metric tons of metal content in 2025, accounting for about 10% of global lithium output. Almost all of Zimbabwe’s lithium ore and concentrate are exported to China. In 2025, China’s total import volume of lithium ore reached 7.75 million tons (equivalent to 790,000 tons of LCE—lithium carbonate equivalent), of which 1.2 million tons (equivalent to 150,000 tons of LCE) came from Zimbabwe. Nevertheless, since the announcement of the new policy, domestic lithium carbonate futures prices have shown little fluctuation.

On the evening of May 27, reporters from Everyday Economic News interviewed executives of Chinese lithium companies operating in Zimbabwe. They learned that some lithium projects in Zimbabwe already have government ownership, with actual equity stakes reaching 15%. However, this ownership was not newly established—it existed from the time Chinese enterprises first entered the market.

Based on responses from multiple interviewees, the new policy mainly targets newly applied-for mining rights and newly developed mining projects, having limited impact on existing operations.

Meanwhile, in mid-May, companies like Zinca Resources, which have lithium mining projects in Zimbabwe, disclosed information on investor interaction platforms. Zinca Resources stated that lithium concentrate from their Zimbabwean mine has been continuously shipped out. Currently, the comprehensive tax burden on lithium concentrate exports from Zimbabwe is approximately 20%, mainly comprising mining resource taxes, community development taxes, and export duties.

Yahua Group reported that export procedures for its Zimbabwean lithium concentrate have been completed, and shipments have already commenced. The company’s lithium sulfate plant project is progressing, with expected completion next year.

Shengxin Lithium Energy announced in mid-April that the government had lifted the ban on lithium concentrate exports. Now, lithium mining companies with sufficient scale and conditions can export lithium products under compliance with local laws and regulations. The company is currently processing export formalities under guidance from Zimbabwean government authorities.

(Disclaimer: The content and data in this article are for reference only and do not constitute investment advice. Investors act at their own risk.)

Source: Everyday Economic News

Original: toutiao.com/article/7644832616952250890/

Statement: This article reflects the personal views of the author