The Mantashe threat to withhold minerals from US has triggered alarm among business leaders and trade analysts. Speaking at the African Mining Indaba in Cape Town, Mineral Resources and Energy Minister Gwede Mantashe warned that South Africa could restrict mineral exports to the United States if it faces cuts in financial aid or political interference.
Africa Urged to Act Collectively
Mantashe urged African countries to unite and use their vast mineral resources to strengthen their position on the global stage. He highlighted that the continent holds around 90% of the world’s platinum group metals, over 40% of gold reserves, and large deposits of vanadium, manganese, and cobalt.
He argued that if foreign powers reduce support or apply pressure, African nations should respond by limiting mineral access. “If they don’t give us money, let us not give them minerals,” he said.
The Mantashe threat to withhold minerals from US was a direct challenge to Western influence, particularly amid rising tensions over policies like land reform.
Industry Leaders Raise Red Flags
Mining executives warned that this strategy could backfire. One concern is that South African producers rely heavily on global trade. Restricting exports to the US could hurt local businesses more than it affects American supply chains.
Companies in the mining sector sell through international contracts, not state agreements. Blocking exports would disrupt these deals and send negative signals to investors.
Trade experts also worry that the Mantashe threat to withhold minerals from US could result in retaliation. For example, the US may suspend access to the African Growth and Opportunity Act (AGOA), which allows duty-free exports to the US.
New Minerals List to Include Coal
Mantashe announced that South Africa will soon release its own Critical Minerals List. Unlike most global lists focused on clean energy, this one will include coal. He argued that coal remains vital for industrial development and job creation.
A Turning Point in Trade Policy
The Mantashe threat to withhold minerals from US marks a shift in how South Africa sees its global role. While the move aims to assert sovereignty, it could test key trade and investment ties in the months ahead.
