California Zero-Carbon Mandates Boost China’s Control of Cobalt

Cars recharge their batteries in San Francisco on March 9, 2022. (Justin Sullivan/Getty Images)

Commentary

Before California’s government imposed its zero-carbon by 2035 vehicle mandate, it first should have assured itself a secure market in cobalt. Otherwise, the main beneficiary will be the People’s Republic of China, which dominates the market in cobalt, a key mineral needed for batteries.

That’s the conclusion I draw from a new book, “Cobalt Red: How the Blood of the Congo Powers Our Lives,” by Siddharth Kara. It details how 75 percent of the world’s cobalt is mined in the Democratic Republic of the Congo, the hideous human rights abuses of the miners who dig this red gold, and the PRC’s role in exploiting the resources while disregarding human rights.

Traditional carbon-powered engines are pretty simple. Put some refined fuel (gasoline, diesel) into an engine chamber, provide a spark, then control the energy output. Electric vehicles are much more complex, which is why—despite attempts from the beginnings of the automobile industry a century ago—they have not caught on until recently except as curiosities and golf carts.

A complex explanation of cobalt’s use in batteries is provided by Design News. But basically, lithium-cobalt-oxide (Li-Co-O2) is crucial for cathode materials. It’s also called LCO.

A man watches a conveyor belt loaded with chunks of raw cobalt a plant in Lubumbashi in the Democratic Republic of Congo on February 16, 2018, before being exported, mainly to China, to be refined. (Samir Tounsi/AFP via Getty Images)

“Cobalt Red” explains:

“Equally important to cost in accelerating EV adoption is the range the car can travel between charges. To increase range, batteries require higher energy densities, and only lithium-ion chemistries using cobalt cathodes are currently able to deliver maximum energy density while maintaining thermal stability. ... LCO batteries provide high energy density, which allows them to store more power per weight of battery. ...

“Battery researchers are working on alternative designs that can minimize or eliminate reliance on cobalt. At present, most cobalt-free alternatives have significant disadvantages relating to energy density, thermal stability, manufacturing costs, and longevity. Many of them are also a decade or more away from commercial scale production.”

So we’re stuck with cobalt.

Human Rights in the Congo

Kara traveled to the mines in the city of Kipushi. Here’s what he found:

“There was a toxic feeling in Kipushi that I was unable to shake for several days after my visit. The earth, air, and water at the site seemed to be utterly contaminated, which suggested that every moment the artisanal miners spent digging in the mine exposed them to harmful substances that could have serious consequences to their health.”

A researcher named only Germain at the University of Lubumbasi described findings that “had not been well received by mining companies or the Congolese government.” Germain himself said:

“In the studies we conducted, the artisanal miners have more than 40 times the amount of cobalt in their urine as the control groups. They also have five times the level of lead and four times the level of uranium. Even the inhabitants living close to the mining areas who do not work as artisanal miners have very high concentrations of trace metals in their systems, including cobalt, copper, zinc, lead, cadmium, germanium, nickel, vanadium, chromium, and uranium.”

The Congo obviously does not have the equivalent of the California’s Division of Occupational Safety and Health. It’s something electric vehicle owners aren’t thinking about when they tool around in the state’s pristine air.

Artisanal miners carry sacks of ore at the Shabara artisanal cobalt mine near Kolwezi on Oct. 12, 2022. Demand for the metal is exploding due to its use in the rechargeable batteries that power mobile phones and electric cars. (Junior Kannah/AFP via Getty Images)

Communist China’s Role

I’ve spent almost five decades writing about the follies of not just American governments, but industry as well. But even I was shaking my head as I read this:

“In 2010, a Chinese consortium called SICOMINES [Sino Congolaise des Mines] repaved the road as part of an agreement brokered by Joseph Kabila, through which China managed to corner most of the global cobalt market before anyone knew what happened. It was one of many infrastructure-for-resources agreements that China has negotiated across the African continent.

“The foundation for China’s dominance of Africa was established in 2000 when President Jiang Zemin proposed the creation of the Forum on China-Africa Cooperation to facilitate Chinese investments in African countries.”

There were later agreements between Kabila and President Hu Jintao. Kabila also set up a private firm, Strategic Products and Investments, that siphoned off $302 million between 2010 and 2020.

“[SPI was] just one of the many Chinese deals through which Kabila and his family profited. The nation, however, has seen little profit from the SICOMINES agreement. Infrastructure projects have been delayed, road quality has been poor, and there has been little by way of environmental or social impact considerations in the construction and mining operations of SICOMINES. Crucially, the SICOMINES deal is exempt from taxes until infrastructure and mining loans are fully repaid, which means that the DRC will not receive meaningful income from the deal for many years to come.”

On the positive side, Kabila lost an election in 2019 and actually left office peacefully, and still lives on his farm compound in the country. He currently is being investigated for embezzling more than $138 million.

Another way Beijing rips of the Congo is by bringing in its own construction crews, cheating the locals of good jobs and pay. A local activist named Gilbert told Kara:

“Chinese companies make a bid lower than anyone else to get the contract. They will pay their workers small wages to complete the project. The Chinese have no constraints on human rights, so other companies cannot compete with them.”

Added Asad Khan, CEO of the company Big Boss Congo:

“The Chinese companies have an unfair advantage over every other company operating in Congo, including my own. First, although they claim they are private companies, they all receive funding from the government of China. Basically, this means they receive free money and have almost no cost of capital. You cannot compete on this basis. It is an extremely difficult environment to succeed. ... The Chinese mining contracts signed by the Kabila government are lopsided and benefit the DRC state and the population very little.”

To put it in our American vernacular: China got the cobalt mines, the people of the Congo got the shaft—and Kabila got hundreds of millions.

General view of the copper and cobalt mine of Kolwezi on Feb. 14, 2018. (Samir Tounsi/AFP via Getty Images)

California Hypocrisy

On April 18 2022, according to his office, “Furthering California’s long-standing collaboration with China on climate change, Governor Gavin Newsom today renewed a Memorandum of Understanding (MOU) to advance ongoing cooperation on initiatives to protect the environment, reduce carbon emissions and air pollution, and promote clean energy development.”

If Newsom were serious, he would insist Communist China clean up its environmental act in the Congo and elsewhere. Including in the PRC itself where, as I keep detailing in the Epoch Times, it’s building hundreds of new coal plants every year.

Newsom also should insist the Congo adopt strict safety standards for those working in its mines. He could send CalOSHA’s Mining and Tunneling Unit over there to establish new rules. According to M&T’s website, “Mine safety training provides New Miner, Newly Hired Experienced Miner and Annual Refresher Trainings as required by Mine Safety and Health Administration (MSHA) 30 CFR parts 46 and 48.”

Of course, that’s not going to happen. It’s all just posturing for his political ambitions. China isn’t going to change. Why would they? They’re communists. The poor people in the Congo will continue to be contaminated so California environmentalists and bureaucrats can feel superior for supposedly “protecting the environment” and “promoting clean energy.”

The rest of us also pay. We only can afford cars powered by gasoline refined from wells in Texas and Alaska, which produce under America’s strict OSHA rules. We can’t afford trendy, expensive EVs. As the 2035 EV mandate goes into effect, gas cars will become more scarce, therefore more expensive. Last month the Biden administration got into the act, proposing new rules to make two-thirds of U.S. vehicles EVs by 2032.

That also will mean more power to the Chinese Communist Party and its control of the global cobalt market. And more misery for the people of the Congo.

John Seiler’s email: [email protected]

Views expressed in this article are opinions of the author and do not necessarily reflect the views of The Epoch Times.