Follow CGSP on Social Media

Listen to the CGSP Podcast

Zhejiang Province Shutters Factories Due to COVID-19, Raising Concerns About the DRC-to-China Cobalt Supply Chain

by Eric Olander
File image of Zhejiang Zhongjin Greatpower Lithium Battery Industry Co., LTD., one of China's largest facilities for processing the cobalt used to make EV batteries. The factory shut down this week due to COVID restrictions imposed by authorities in Zhejiang province.

The global cobalt supply chain is bracing for the impact from the closure of three of China’s largest processing factories in eastern Zhejiang province in response to an outbreak of COVID-19. 

Provincial authorities shuttered more than a dozen massive factories in the area in response to the detection of 173 locally-transmitted COVID cases last week, according to Reuters. While those numbers may seem low compared to other countries, China’s pursuing a “Zero COVID” policy and often employs extreme measures in response to even the slightest spread of infection.

Lead the Conversation on China

Subscribe Today to Get Full Access to The China-Global South Project

Check Out Everything You'll Get With Your Subscription

The China-Global South Daily Brief delivered to your inbox at 6AM Washington time

Full access to exclusive news and analysis from editors based in the Global South

Transcripts of CGSP’s twice-weekly podcasts

Students and teachers with a valid .edu email address are eligible for a 50% discount off monthly or yearly subscriptions. Email us to receive a discount code.

You Might Like

COVID Lockdowns Scrambling Strategic Metals Sector

Disruptions caused by COVID-19 lockdowns in China, the Ukraine war and the ongoing crisis at the South African port of Durban are roiling the strategic battery sector, used for e-vehicles. While prices are falling in the ...

China to Stockpile Massive Amounts of Cobalt, Further Boosting the Price of this DRC, SA-sourced Strategic Mineral

The Chinese government will add 2,000 tons of cobalt to its strategic commodity reserve in a move that is expected to further bolster prices of this vitally important mineral that largely comes from ...

COVID Lockdowns Hit Cobalt Prices

Chinese cobalt prices fell about 13% from a peak in May as China’s ongoing COVID lockdowns hit demand for electric vehicles.  The dynamic reveals a gap between the Chinese domestic ...

What is The China-Global South Project?

Independent

The China-Global South Project is passionately independent, non-partisan and does not advocate for any country, company or culture.

News

A carefully curated selection of the day’s most important China-Global South stories. Updated 24 hours a day by human editors. No bots, no algorithms.

Analysis

Diverse, often unconventional insights from scholars, analysts, journalists and a variety of stakeholders in the China-Global South discourse.

Networking

A unique professional network of China-Africa scholars, analysts, journalists and other practioners from around the world.