Africa and Southeast Asia could strengthen their positions in global critical mineral supply chains by combining Africa’s mineral resources with Southeast Asia’s processing capabilities, manufacturing expertise and industrial investment. The opportunity was discussed at Devex Impact House during the World Bank and International Monetary Fund annual meetings in Bangkok, where representatives from the African Union Commission, the United Nations Economic Commission for Africa and Indonesian institutions examined how cooperation between the two regions could support energy security and industrial development. The discussion identified potential areas of collaboration, rather than announcing a formal Africa–ASEAN supply-chain agreement.
The economic case for Africa is substantial, but its position in the supply chain remains limited. An OECD report published in October 2026 found that Africa accounts for 10.6% of global critical mineral exports, with exports dominated by raw and semi-processed materials. The report identifies cobalt, copper, graphite, lithium, manganese and nickel as minerals with significant potential to support industrial development. However, extracting these resources does not automatically give producing countries control over refining, component manufacturing or the technologies that use them. Expanding those activities could allow African economies to retain more value, develop technical capabilities and create higher-skilled employment.
Southeast Asia offers relevant experience in building industries around mineral resources. Indonesia, the world’s largest nickel producer and refiner, has used restrictions on unprocessed mineral exports to encourage domestic smelting investment. The International Energy Agency’s 2026 ASEAN Energy Security Review notes that Indonesia accounted for 63% of global mined nickel supply and more than 40% of refined output in 2024. Yet the region also faces vulnerabilities, including concentrated investment relationships, dependence on imported processing technology and exposure to disruptions in global supply chains. Africa could draw lessons from Southeast Asia’s industrial development, but replicating individual policies would require consideration of differences in infrastructure, market size, governance and industrial capacity.
Regional cooperation could help address the scale problem facing individual mineral-producing countries. Developing a refinery, precursor-material plant or battery-component factory requires reliable supplies of raw materials, substantial capital, technical expertise and access to customers. Countries working independently may struggle to secure enough demand or production volume to make such facilities commercially viable. The African Continental Free Trade Area could provide a framework for coordinating regional value chains, linking mineral-producing economies with countries offering transport infrastructure, processing capacity, manufacturing skills and access to larger markets. Partnerships with ASEAN economies could add technology, capital and industrial experience, provided the terms support productive capacity within Africa rather than simply expanding exports.
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Energy supply is another critical condition. Mineral processing can require large and continuous quantities of electricity, while unreliable supply and high energy costs can undermine a facility’s competitiveness. The IEA has warned that industrial development around critical minerals needs to be aligned with reliable, affordable energy and lower-emissions production. This creates a direct link between mineral policy and investment in generation, transmission and industrial power supply. If new processing facilities depend on expensive or unreliable electricity, countries may struggle to compete with established refining centres; if they rely heavily on fossil-fuel power, they could also face rising emissions and exposure to climate-related trade requirements.
The final question is whether the resulting supply chains deliver measurable benefits to producing countries and their communities. Participants in the Bangkok discussion argued that success should be assessed through employment, local value creation, access to energy and the distribution of economic gains, rather than export revenues or investment totals alone. That requires clear agreements on local procurement, workforce development, environmental safeguards and community participation, alongside commercially viable projects. Africa–ASEAN cooperation could diversify mineral supply chains while supporting industrialisation, but it will depend on whether partnerships build lasting capabilities in producing economies and provide a credible route from mineral extraction to higher-value manufacturing.
