Australia’s Lindian Resources said in early July that it had completed the first blast at its Kangankunde
rare earths project in Malawi. The milestone marks the start of mining operations at the site and brings the project closer to its target of beginning industrial-scale production by the end of 2026, in line with the announced schedule.
The development represents a major step for Africa, which currently has no operational industrial-scale rare earths production site but aims to emerge as a contributor alongside established global producers.
Other Key Suppliers in China’s Shadow
Rare earths comprise 17 elements, including terbium, dysprosium, scandium and yttrium, and are now central to global industrial priorities. The materials are essential for manufacturing permanent magnets used in electric vehicle motors, wind turbines and some defense equipment. China has dominated the value chain for several years, from extraction to refining.
Chinese mines produced 270,000 metric tons of rare-earth-oxide equivalent in 2025, accounting for about 69% of estimated global production of 390,000 metric tons, according to data from the U.S. Geological Survey. Despite China’s dominance, several other major producers remain in the market. The United States and Australia ranked second and third globally, producing 51,000 metric tons and 29,000 metric tons, respectively. They were followed by Myanmar with 22,000 metric tons, Thailand with 4,800 metric tons and India with 2,900 metric tons.
Africa has had no industrial rare earths production since 2021, when the Gakara mine in Burundi closed. However, the continent still appears in global production statistics, albeit marginally. The USGS ranking lists production of 2,700 metric tons in Madagascar and 1,500 metric tons in Nigeria, without specifying the sources of that output. Both countries nevertheless have identified potential for rare earths.
Tanzania and South Africa are also among the African countries considered to have promising resources, although neither currently records any production. This is significant as several mining projects are gradually emerging in these countries.
9% of Global Supply by 2029
Like Kangankunde, these mining projects could gradually strengthen Africa’s position in the rare earths market. Based on its development timetable, the Malawian project appears to be among the most advanced. Lindian Resources plans to produce up to 20,000 metric tons of rare earths concentrate annually.
Other projects are expected to follow in the coming years, including Longonjo in Angola, operated by Pensana Plc, Ngualla in Tanzania and Phalaborwa in South Africa. These developments are already underpinning forecasts of a gradual increase in African supply over the next decade.
In 2024, Benchmark Mineral Intelligence estimated that eight new mines in Tanzania, Angola, Malawi and South Africa could enable Africa to account for 9% of global rare earths supply by 2029. Fitch Solutions, meanwhile, forecasts that the continent will contribute 7% of global supply by 2034. If realized, these projections would strengthen Africa’s position among secondary producers of these strategic resources, which are at the center of global competition for critical minerals.
This momentum comes as major economies seek to reduce their dependence on Beijing. In early June, the G7 countries set a goal of reducing their dependence on China to below 60% by 2030. That ambition creates opportunities for Africa, which is expected to become one of the alternative production hubs alongside other emerging producers such as Brazil, although China retains interests in some projects on the continent. U.S. efforts involving projects such as Longonjo and Phalaborwa already illustrate this growing interest.
The future of the global rare earths market will now depend on how African projects expand over the coming years. For the countries involved, the challenge will also be to maximize the economic benefits of these resources as local processing gradually becomes a central component of the continent’s new mining policies.
