The Democratic Republic of Congo will permanently exclude exporters that violate its newly established cobalt quota system, President Felix Tshisekedi has declared, signalling a stricter approach to controlling the world’s largest supply of the critical battery metal, Reuters reports.

The quota system, which replaces a temporary export freeze, is scheduled to take effect on October 16. Miners will be permitted to ship up to 18,125 metric tons of cobalt for the remainder of 2025, with annual caps of 96,600 tons set for 2026 and 2027, according to the state minerals regulator ARECOMS. Only ARECOMS is authorised to allocate or revoke quotas.

Tshisekedi described the system as a “real lever to influence this strategic market” and indicated that any breach would result in “exemplary sanctions,” including permanent exclusion from Congo’s cobalt programme. The president also attributed a 92 percent rise in cobalt prices since March to the earlier export suspension.

The policy has elicited divergent responses from industry players. Glencore, the world’s second-largest cobalt producer, supports the quota system, while China’s CMOC Group, Congo’s largest producer, has opposed it. The previous ban, extended in June, prompted force majeure declarations from both companies.

The move comes amid heightened instability in eastern Congo, where fighting between M23 rebels and government forces has killed thousands and displaced hundreds of thousands. Regional tensions further complicate the sector, with a U.S.-backed effort to formalise economic cooperation with Rwanda stalled after the two countries failed to sign a proposed Regional Economic Integration Framework aimed at encouraging international investment.