Washington, D.C. – Today, the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) has announced new sanctions aimed at armed groups and companies that are contributing to violence and instability in the Democratic Republic of the Congo (DRC) through the illegal trade of essential minerals.
These sanctions, enacted under Executive Order 13413, are designed to disrupt the funding networks that facilitate widespread human rights violations, unlawful mining activities, and armed conflict — especially in the mineral-rich Rubaya area of eastern Congo. This region has experienced a significant increase in violence and displacement due to intensifying clashes between the Rwanda-supported M23 rebel faction and militias aligned with the DRC.
“The conflict minerals trade is exacting a deadly toll on Congolese civilians, fueling corruption, and preventing law-abiding businesses from investing in the DRC,” said John K. Hurley, Under Secretary of the Treasury for Terrorism and Financial Intelligence.
Sanctioned Armed Group: PARECO-FF
The Treasury has imposed sanctions on Coalition des Patriotes Résistants Congolais-Force de Frappe (PARECO-FF), an armed faction that surfaced in 2022 and has significantly influenced the conflict economy in the region. PARECO-FF took over mining operations in Rubaya, where it was involved in:
- Forcing civilians into labor and executing them
- Illegally taxing artisanal miners
- Smuggling minerals to finance its activities
Additionally, the group formed tactical alliances and rivalries with other armed groups, such as the M23, which has led to increased instability across the region.
PARECO-FF was identified as a threat to peace and security in the DRC, engaging in actions that weaken democratic institutions, especially through the illegal exploitation of natural resources.
Congolese and Chinese Companies Sanctioned
The Treasury has also enacted sanctions against three companies that were instrumental in transporting conflict minerals from areas controlled by militias into global markets:
- Cooperative des Artisanaux Miniers du Congo (CDMC) – A mining firm based in the DRC that operated within the territory of PARECO-FF and sold minerals sourced illegally.
- East Rise Corporation Limited (Hong Kong)
- Star Dragon Corporation Limited (Hong Kong)
Both East Rise and Star Dragon procured minerals from CDMC and facilitated their export, frequently via Rwanda, which is a common transit point for conflict minerals. The U.S. claims that these companies significantly aided PARECO-FF by providing financial support for its unlawful activities.
Wider Conflict and U.S. Strategy
Eastern Congo continues to be one of the most unstable regions globally, with countless civilians killed and millions forced to flee. The U.S. has openly criticized the impact of illegal mineral trading in exacerbating violence and weakening the Congolese government.
The recent sanctions come in the wake of the peace agreement signed on June 27, 2025, between the DRC and Rwanda, which was facilitated with U.S. assistance. As part of its comprehensive regional strategy, the U.S. is advocating for a transparent and legal framework for the trade of essential minerals — crucial for global electronics and national defense supply chain
As a result of today’s actions:
- All assets belonging to the designated individuals and companies within the U.S. or under U.S. jurisdiction are frozen.
- U.S. individuals are barred from engaging in transactions with the sanctioned entities.
- Entities that are 50% or more owned by sanctioned individuals or companies are also subject to these sanctions.
“The ultimate goal of sanctions is not to punish, but to bring about a positive change in behavior,” the Treasury said, noting that individuals or entities can petition for removal from the sanctions list if they demonstrate compliance and reform.
