The cobalt and nickel used in electric vehicle batteries primarily come from the Democratic Republic of the Congo and Indonesia. Minerals from these two countries have long been linked to controversy over deforestation, water pollution, and human rights. A recent report indicates that lithium iron phosphate (LFP) batteries are becoming the mainstream in the market, while demand for lithium nickel manganese cobalt (NMC) batteries is declining. Forest conservation groups believe that the reduced demand for nickel and cobalt is positive news for forests.
Cobalt and nickel are gradually fading from the market
According to the International Energy Agency's (IEA) May report, "Global Critical Minerals Outlook 2025," electric vehicles have been shifting toward LFP batteries in recent years, accounting for less than 10% in 2020 but approaching 50% by 2024.
Climate Home News reported that LFP batteries are popular due to their low cost, safety, and increasing energy density, while cobalt and nickel prices are high. Major Chinese electric vehicle manufacturers BYD and CATL claim their new batteries can achieve a range of 400-520 kilometers with just a five-minute charge.
Battery mineral resources and manufacturing processes are often over-concentrated. In traditional nickel batteries, 67% of the cobalt comes from the Democratic Republic of the Congo and 63% of the nickel comes from Indonesia. A study commissioned by the European Forest Initiative, Fern, and conducted by a French think tank and the University of Vienna, found that a global switch to LFP batteries could reduce deforestation by 43% by 2050.
"This is positive news for global forests," said Perrine Fournier, an advocacy specialist at Ferns. LFP batteries are primarily made of iron, and iron ore deposits are not typically found in forest areas.
Indonesian nickel mine pollution forces villagers to drink sewage
Indonesia is a major nickel producer, supplying 60% of the world's nickel, with Kawasi accounting for 6%. Kawasi Village on Obi Island was once nestled between the mountains and the sea, boasting clean, drinkable spring water. However, after the Harita Group began mining nickel and building a smelter, the river became polluted. Villager Nurhayati Jumadi told Deutsche Welle that the spring water has taken on an unpleasant odor and causes stomachaches, but he still has no choice but to drink it.
Harita claims its water quality meets standards, but documents obtained by Deutsche Welle reveal that the company was internally aware of excessive levels of hexavalent chromium (CR6) in its water. Harita's revenue exceeded $1 billion in 2023, but Kawasi has one of the highest poverty rates in Indonesia. Today, the wealthy drink bottled water, while the poorer have to endure contaminated water.
DRC government ignores pollution, forcing people to relocate
Over 60% of the world's cobalt reserves are located in the Democratic Republic of the Congo (DRC). Environmental media outlet Mongabay visited Lualaba, a region rich in copper and cobalt, key minerals for modern technology. However, factories have repeatedly dumped acidic wastewater into rivers, damaging crops, sickening infants, and forcing residents to relocate.
The local mining company, TFM, owns 80% of the shares of the Chinese company Luoyang Molybdenum Co., Ltd. (CMOC), with the remaining 20% held by the state-owned mining company Gécamines. Mongabay notes that Chinese companies control 70% of Congo's cobalt production, and Gécamines enjoys close ties with high-ranking officials. Despite numerous reports of severe pollution, officials have remained indifferent, and the compensation received by villagers for relocation is insufficient to buy or build new homes.
References:
Climate Change News (April 30, 2025)
Cobalt and nickel-free electric car batteries boom in “good news” for rainforests
♦ Deutsche Welle (April 30, 2025),
The hidden cost of Indonesia’s nickel boom
♦ Mongabay（2024年5月14日），
Impunity and pollution abound in DRC mining along the road to the energy transition
♦ International Energy Agency (IEA, May 2025),
Global Critical Minerals Outlook 2025
Sources: Environmental Information Center
