Middle East, Chinese state miners secure lion's share of Zambia's duty-free copper export quota
Middle Eastern and Chinese-backed mining companies have emerged as the biggest beneficiaries of Zambia's decision to extend the suspension of a 10% export duty on copper concentrates, securing a substantial portion of the country's 271,742-ton duty-free export quota.
Middle Eastern and Chinese-backed mining companies have emerged as the biggest beneficiaries of Zambia's decision to extend the suspension of a 10% export duty on copper concentrates, securing a substantial portion of the country's 271,742-ton duty-free export quota.
- Foreign-backed mining companies have secured the largest duty-free export quotas following Zambia's suspension of the 10% export duty on copper concentrates.
- The duty suspension, extended until September 30, covers 271,742 metric tons to prevent unprocessed copper buildup during smelter maintenance.
- Mopani Copper Mines, partly owned by Abu Dhabi's IRH, received the largest quota, highlighting the increasing role of Gulf capital in Zambia.
- Chinese and other foreign companies, including Barrick and First Quantum Minerals, also gained significant export allocations.
The move comes as Zambia, Africa's second-largest copper producer, grapples with processing bottlenecks caused by prolonged maintenance and repair work at key smelters.
To prevent a buildup of unprocessed copper concentrate and keep mines operating, the government has extended the duty suspension until September 30.
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According to a government notice seen by Reuters, the temporary exemption covers 271,742 metric tons of copper concentrates, allowing miners to export material that would otherwise attract the 10% levy.
The largest allocation went to Mopani Copper Mines, which received a 100,000-ton duty-free export quota. The company is jointly owned by Abu Dhabi-based International Resources Holding (IRH) and Zambia's state mining investment firm ZCCM-IH, reflecting the growing role of Gulf capital in Zambia's mining sector.
Barrick Mining's Lumwana Mining Company secured the second-largest quota at 56,986 metric tons. Chinese-linked operators also featured prominently among the beneficiaries.
Chinese-owned Nkana Mining and Minerals Processing received a quota of about 43,000 tons, matching the allocation granted to Canada's First Quantum Minerals.
Foreign investors gain as Zambia tackles smelter disruptions
The latest allocations highlight how foreign investors continue to dominate Zambia's copper industry at a time when the country is pursuing ambitious production growth targets.
Lubambe Copper Mine, which is 70% owned by China's JCHX Mining, secured a 15,000-ton duty-free quota, while Vedanta Resources-controlled Konkola Copper Mines received an allocation of 12,541 tons.
Zambia introduced the export duty on copper concentrates to encourage domestic processing and capture more value from its mineral resources.
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However, technical challenges and maintenance programmes at major smelters have forced authorities to temporarily ease the restriction to prevent operational disruptions across the mining sector.
The country exported 890,346 metric tons of copper in 2025 and is targeting annual production of 3 million tons by 2031 as it seeks to capitalize on rising global demand for copper, a key metal used in power grids, electric vehicles, and renewable energy infrastructure.
For now, the suspension offers relief to miners facing processing constraints while reinforcing the influence of Middle Eastern and Chinese investors in one of Africa's most important copper-producing nations.