US committed to funding Angola’s Lobito rail corridor despite spending cuts, diplomat says

The United States, through its International Development Finance Corporation, set up during Trump’s first term in 2019, has pledged a US$550 million loan to support Lobito, which is considered key in countering Chinese control over copper and cobalt supplies in the region.

President Donald Trump’s spending cuts had raised concerns for projects such as Lobito which had plans for Angola, Democratic Republic of Congo and Zambia.

But the US Ambassador to Angola, James Story, sought to allay fears on Wednesday.

According to the US News, Story was accompanied by European diplomats, Angolan officials and executives from Lobito Atlantic Railways on a tour of projects in Angola.

Asked if funding for the Lobito corridor was at risk, Story said: “Not at the moment. All the projects with the DFC and also with the Exim Bank are there and we’re working on them.”

“Various organisations say that we’re moving away from this project, but that’s not true,” Story said.

In 2022, Angola handed a 30-year Lobito corridor concession to the Lobito Atlantic Railway consortium joint-venture led by commodities firm Trafigura, construction giant Mota-Engil and independent rail operator Vecturis SA.

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