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DRC Customs Cracks Down on Mining Companies Over Fuel Tax Evasion Suspicions

DRC Customs Cracks Down on Mining Companies Over Fuel Tax Evasion Suspicions

Highlights: 

• DRC customs suspects mining companies of evading fuel tax reform by using subsidized domestic petroleum products
• New 2025 rules end mining fuel tax exemptions, requiring companies to source fuel through bonded warehouses
• Fuel import customs revenues surge 1,500% to $22M in August after reform implementation

The Democratic Republic of Congo's customs authority suspects mining companies of circumventing new fuel taxation rules by declaring excessive volumes of petroleum products for domestic consumption. The Directorate General of Customs and Excise flagged the irregularities during a September 12 evaluation meeting in Lubumbashi.

The meeting brought together Federation of Congolese Enterprises members, including mining companies, subcontractors, oil firms, and forwarding agents, to assess the implementation of mining sector petroleum product reforms. According to a September 13 FEC press release, customs officials presented evidence suggesting possible rule violations.

The 2025 Finance Law reform ended tax exemptions on fuel for mining companies and their subcontractors. These operators must now source fuel through bonded warehouses to pay customs duties and import VAT. However, customs suspects companies are using subsidized domestic fuel instead to avoid the new taxes.

In response to these suspicions, the customs administration announced stronger controls and potential sanctions, including export holds or blocks for companies unable to justify production volumes matching fuel acquired under proper customs oversight.

The FEC urged its members to strictly follow established procedures and work more closely with authorized commission agents to prevent irregularities. The employers' organization maintains ongoing dialogue with customs to ensure balanced reform implementation while minimizing export disruptions.

The National Economy Ministry reports that the fuel reform significantly boosted public revenues. Fuel imports generated over 63 billion Congolese francs (around $22 million) in customs revenues in August 2025, compared to just 4 billion francs ($1.5 million) the previous month—an increase exceeding 1,500%.

The crackdown highlights tensions between government revenue optimization and mining sector operational costs as the DRC seeks to maximize returns from its dominant export industry.

Ronsard Luabeya

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