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Ranked: The World’s Top Cobalt Producing Countries

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top cobalt producers

Ranked: The World’s Top Cobalt Producing Countries

Cobalt, an essential component of key chemistries of the rechargeable lithium-ion batteries used in EVs, has seen a significant shift in its global production landscape.

The Democratic Republic of Congo (DRC) has long been the world’s largest cobalt producer, accounting for 73% of global output in 2022.

However, according to the Cobalt Institute, the DRC’s dominance is projected to decrease to 57% by 2030 as Indonesia ramps up its cobalt production as a byproduct from its rapidly expanding nickel industry.

Indonesia Became Second Largest Cobalt Producer in 2022

Indonesia accounts for nearly 5% of global cobalt production today, surpassing established producers like Australia and the Philippines.

In 2022, Indonesia’s cobalt production surged to almost 9,500 tonnes from 2,700 tonnes in 2021, with the potential to increase production by tenfold by 2030.

Country 2022 Production (tonnes) % of Total Production
🇨🇩 DRC144,93673.3%
🇮🇩 Indonesia 9,4544.8%
🇦🇺 Australia 7,0003.5%
🇵🇭 Philippines 5,4002.7%
🇨🇺 Cuba 5,3312.7%
🇷🇺 Russia 3,5001.8%
🇲🇬 Madagascar3,5001.8%
🇨🇦 Canada3,1001.6%
🇵🇬 Papua New Guinea 3,0601.5%
🇹🇷 Türkiye2,3001.2%
🌐 Other10,2105.2%
Total197,791100.0%

Percentages may not add to 100 due to rounding.

In total, global cobalt production reached 197,791 tonnes, with the DRC contributing just under 145,000 tonnes of that mix.

The EV industry is the largest consumer of cobalt, accounting for approximately 40% of total demand. The exponential growth of the EV sector is expected to drive a doubling of global cobalt demand by 2030.

Share of cobalt demand by sector

While the shift in cobalt production is notable, it is not without challenges. Plummeting cobalt prices, which fell almost 30% this year to $13.90 a pound, have severely impacted the DRC.

Furthermore, the longer-term prospects of cobalt could face hurdles due to efforts to reduce its use in batteries, partly driven by human rights concerns associated with artisanal cobalt mining in the DRC and related child labor and human rights abuses.

In a 2021 ruling by a federal court in Washington, Google parent Alphabet, Apple, Dell, Microsoft, and Tesla were relieved from a class action suit claiming their responsibility for alleged child labor in Congolese cobalt mines.

The Future of Cobalt

Despite ongoing efforts to substitute cobalt in battery applications, cobalt is expected to remain a vital raw material for the entire battery supply chain in the near future.

The demand for cobalt is forecasted to more than double by 2030 to 388,000 tonnes.

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Energy Shift

Visualized: The Growth of Clean Energy Stocks

Visual Capitalist partnered with EnergyX to analyze five major clean energy stocks and explore the factors driving this growth.

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This line chart shows the growth of clean energy stocks and hints at their cumulative five-year returns.

The Growth of Clean Energy Stocks

Over the last few years, energy investment trends have shifted from fossil fuels to renewable and sustainable energy sources. Long-term energy investors now see significant returns from clean energy stocks, especially compared to those invested in fossil fuels alone.

For this graphic, Visual Capitalist has collaborated with EnergyX to examine the rise of clean energy stocks and gain a deeper understanding of the factors driving this growth.

Sustainable Energy Stock Performance

In 2023, the IEA reported that 62% of all energy investment went toward sustainable sources. As the world embraces sustainable energy and technologies like EVs, it’s no surprise that clean energy companies provide solid returns for their investors over long periods.

Taking the top-five clean energy stocks by market cap (as of April 2024) and charting their five-year cumulative returns, it is clear that investments in clean energy are growing:

CompanyPrice: 01/04/2019Price: 12/29/20245-Year-Return %
First Solar, Inc.$46.32$172.28272%
Enphase Energy, Inc.$5.08$132.142,501%
Consolidated Edison, Inc.$76.55$90.9719%
NextEra Energy, Inc.$43.13$60.7441%
Brookfield Renewable Partners$14.78$26.2878%

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But how does this compare to the performance of fossil fuel stocks?

When comparing the performance of the S&P Global Oil Index and the S&P Clean Energy Index between 2019 and 2023, we see that the former returned 15%, whereas the latter returned an impressive 41%. This trend demonstrates the potential for clean energy stocks to yield significant returns on an industry level, sparking optimism and excitement for potential investors.

A Shift In Returns

With global investment trends moving away from traditional, non-sustainable sources, the companies that could shape the energy transition provide investors with alternative opportunities and avenues for growth.

One such company is EnergyX. The lithium technology company has patented a groundbreaking technology that can improve lithium extraction rates by an incredible 300%, and its stock price has grown tenfold since its first offering in 2021.

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Energy Shift

Visualized: A Decade of Clean Energy Investment

In this graphic, Visual Capitalist has partnered with EnergyX to explore the growth of global clean energy investment.

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Visualized: A Decade of Clean Energy Investment

Global energy investment is growing every year. But recently, investments in clean energy have been significantly outpacing investments in fossil fuels.

For this graphic, we partnered with EnergyX to explore how global energy investment has changed and learn how investments in clean energy are starting to pay off for their investors.

The Rise of Sustainable Energy Investment

Propelled by various climate initiatives such as the Paris Agreement and the widespread adoption of EVs, global investment in sustainable energy surged to over $1.7 trillion in 2023, the highest ever, and the IEA projects that this growth could continue:

Energy Product20202021202220232030F
Clean Electrification$0.97T$1.05$1.21T$1.34T$1.65T
Low-Emission Fuels$0.01T$0.01$0.01T$0.02T$0.05T
Energy Efficiency$0.28T$0.35$0.39T$0.38T$0.49T
Clean Energy Total$1.26T$1.41T$1.61T$1.74T$2.19T
Natural Gas$0.26T$0.27T$0.31T$0.32T$0.35T
Oil$0.42T$0.48T$0.52T$0.55T$0.60T
Coal$0.16T$0.16T$0.18T$0.18T$0.11T
Fossil Fuel Total$0.84T$0.91T$1.01T$1.05T$1.06T
Total Energy Investment$2.10T$2.32T$2.62T$2.79T$3.25T

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Between 2020 and 2030, global investment in sustainable energy could increase by 74% to nearly $2.2 trillion, compared to just 26% additional investment in fossil fuels, with a forecast total of $1.06 trillion. This shows that sustainability is the future of energy investment.

Sustainable Investor Success Stories

While the growing investments in clean energy show that the world embraces sustainability, energy investors will still look for decent returns. Now, in 2024, clean energy investments are beginning to bear fruit. Here are just a few examples:

  • Between 2019 and 2023, Tesla had a cumulative return of 1,073%
  • NextEra Energy’s quarterly dividend increased by over 10% as of February 2024
  • Investors in EnergyX have 10x’ed their investments since the company’s first offering in 2021

Lithium plays a critical role in powering electric vehicles (EVs) and facilitating the transition to sustainable energy. EnergyX has patented technology that enhances lithium extraction rates by up to 300%, contributing to meeting the growing demand for lithium and fueling the EVs of the future.

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