Recently, I noticed a supply-chain risk that the market may be underestimating. Flooding in western Angola has disrupted the Lobito Corridor railway line. This line connects mining areas in the Democratic Republic of the Congo with Atlantic ports and primarily transports globally critical metals.

More specifically, on Monday, the Lobito Atlantic Railway Company reported the situation. Near the Hahlo River between Kubar and Kainbobo, about 140 kilometers southeast of the city of Benguela, the railway tracks were severely damaged. The flood disaster struck with considerable force. After heavy rains on Sunday, infrastructure near the Cavaco River was also washed out, and the affected sections have already been suspended.

Why is this worth paying attention to? This corridor is supported by the United States and Europe and is a key route for global copper and cobalt supply. Various types of auxiliary materials needed for mine operations are also shipped out through this route. Now the floods have blocked this lifeline, and it is not yet clear how long it will be before the line can resume operation in the short term.

From a market perspective, this may raise expectations for copper and cobalt prices. Mineral exports from central Africa are already vulnerable to weather and infrastructure issues, and this flood disaster is another reminder. Supply-chain disruption incidents like this have been happening more frequently recently, making it worth watching the price direction of related commodities.