Overview

• The Treasury Department designated PARECO-FF, accusing it of profiting from illegal mining operations, collecting illicit fees and taxes, enforcing forced labor and executing civilians in Rubaya between 2022 and 2024.
• Cooperative des Artisanaux Miniers du Congo (CDMC) and Hong Kong exporters East Rise and Star Dragon were hit with U.S. asset freezes and trade prohibitions for buying or selling minerals smuggled from militia-controlled sites.
• Rubaya remains under control of the M23 rebel group and accounts for about 15% of the world’s coltan output, underscoring its importance to both conflict revenues and global tech supply chains.
• U.S. officials said the measures aim to increase the cost of illicit trade, support peace negotiations and steer Western investment toward certified mineral channels tied to security guarantees.
• Renewed clashes between Congo’s army and M23 have jeopardized a planned peace deal by Aug. 18, illustrating difficulties enforcing existing accords and new sanctions.