The administration of United States President Donald Trump has backed President William Ruto’s administration in pushing a policy requiring foreign companies to process minerals locally instead of exporting them as raw materials.
U.S. Assistant Secretary of State for African Affairs Frank Garcia said on Wednesday, September 9, that American companies were ready to partner with Kenya in developing local mineral-processing industries while creating jobs for Kenyans.
“American companies are not here to extract and ship. That is not partnership, that is extraction,” Garcia said while speaking at the American Chamber of Commerce Business Summit in Nairobi.
The policy is part of the Ruto administration’s broader push to ensure Kenya derives greater economic value from its mineral resources by requiring investors to undertake processing and add value locally.
The government has been seeking to move away from a model in which minerals are extracted and exported in raw form, with Ruto calling on investors to establish industries in Kenya to process the resources before they are exported.
The policy has gained prominence amid an ongoing dispute between the government and India-based Tata Chemicals over its operations at Lake Magadi in Kajiado County.
Ruto has criticised Tata Chemicals’ extraction of soda ash, arguing that Kenya has not benefited sufficiently from the company’s presence and the exploitation of the country’s resources.
On September 3, the President ordered Tata Chemicals to exit the country, accusing the company of economic exploitation and demanding greater value for Kenya from its mineral resources.
Garcia said the United States strongly supported Kenya’s approach of processing minerals in the country where they are extracted. “We want processing done right here on the ground in Kenya, not thousands of miles away,” Garcia said.
The U.S. official also welcomed Kenya’s planned competitive process for mineral resources at Mrima Hill in Kwale County, saying Washington was prepared to support efforts to build a transparent mining sector that protects local communities and attracts legitimate investors.
“Critical minerals are a top priority for President Trump and Secretary Rubio, and we're in it. We're ready to work with Kenya as it becomes a regional leader in this space,” he said.
Garcia noted that American companies were already investing in Kenya across sectors including technology, aviation and healthcare.
He urged businesses to move beyond discussions and turn investment opportunities into signed agreements and actual capital commitments.
The U.S. endorsement comes as the Ruto administration seeks to reshape Kenya’s mining sector by placing greater emphasis on local value addition, job creation and increased economic returns from the country’s mineral resources.
