Chinese lithium mining companies operating in Zimbabwe have dismissed allegations of smuggling, insisting they have no incentive to engage in illicit trade and are fully committed to supporting government efforts to curb mineral leakages.
By Rudairo Mapuranga
A senior official at the Embassy of the People’s Republic of China in Zimbabwe says legitimate investors are not responsible for the country’s lithium smuggling challenges, instead pointing to small, unqualified operators as the main culprits.
Speaking to Mining Zimbabwe, Second Secretary and Economic and Commercial Counsellor, Liu Yang, addressed concerns following the government’s recent ban on raw lithium exports.
“Legitimate enterprises have no need to engage in smuggling. Instead, small, unqualified enterprises exploit the documents of legitimate companies to conduct smuggling,” Liu said.
Formal Investors Focused on Long-Term Stability
Liu explained that established lithium mining companies operate with proper export documentation and are focused on protecting long-term investments rather than risking heavy penalties through illegal activities.
“During my investigation, large enterprises indicated they have proper export documents, no motive to smuggle, and cannot afford the penalties associated with being caught. They are more focused on safeguarding the investments they have already made,” he added.
Government Urged to Strengthen Enforcement
Liu emphasised that authorities have multiple opportunities to intervene and curb smuggling across different stages of the export chain.
He noted that formal mining companies are willing to cooperate with the government to eliminate illegal mineral flows, reinforcing the view that the problem lies with smaller, unregulated operators.
Zimbabwe Bans Raw Lithium Exports
On 25 February 2026, the government announced the immediate suspension of all raw mineral and lithium concentrate exports, citing widespread leakages, licence abuse, and failure to declare valuable by-products.
Ministry of Mines Permanent Secretary Pfungwa Kunaka told Parliament that investigations revealed significant losses of rare earth minerals, tantalum, and niobium, which were being exported without proper declaration.
$2 Billion Investments at Stake
Chinese investors, who dominate Zimbabwe’s lithium sector with investments exceeding US$2 billion over the past three years, are positioning themselves as partners in enforcement efforts rather than targets.
Liu’s remarks highlight a growing distinction between large, compliant mining companies and smaller operators accused of abusing temporary export permits. Government findings indicate that some licences were used multiple times by different players, facilitating leakages.
Outlook: Tightening Controls in a High-Stakes Sector
As Zimbabwe moves to tighten control over its lithium exports, the focus is shifting toward strengthening compliance, closing regulatory loopholes, and ensuring that mineral wealth is fully accounted for.
The developments come at a time when global demand for lithium continues to surge, placing Zimbabwe at the centre of the energy transition supply chain.
