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Opinion | Somaliland’s Minerals: A Key Alternative for US Supply Chains

Opinion | Somaliland’s Minerals: A Key Alternative for US Supply Chains

Bashe Awil Omar
Last updated: March 23, 2025 6:44 pm
By Bashe Awil Omar 4 Min Read
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Amid the ongoing conflict in Ukraine and increasingly complex relations between Washington and Beijing, American policymakers are seeking reliable partners in the Horn of Africa. Somaliland, a self-governing territory known for its peaceful elections and effective governance, is attracting increasing attention. Its largely untapped mineral resources offer a potential solution for the U.S. to diversify its supply chains, an idea analysts like Michael Rubin have emphasized.

While the prospect of the U.S. securing essential materials—from rare earth elements to more common minerals—from Somaliland’s unexploited deposits, as an alternative to Ukraine or China, may seem straightforward, there are complexities. China has reportedly engaged with clan leaders in Somaliland’s eastern Khaatumo region, an area historically in conflict with the central government in Hargeisa. Some analysts view this as an attempt to incite unrest in response to Somaliland’s growing relationship with Taiwan, which Beijing opposes. The situation in Khaatumo highlights the broader geopolitical dynamics influencing Somaliland’s aspirations for closer ties with Western nations.

Opinion | UAE and Somaliland: Partnership Driving Economic Growth, Security, and Sustainability Bashe Awil Omar DNE Africa
Bashe Awil Omar

Somaliland aims to gain international recognition while addressing security concerns, particularly the potential for external funding to fuel instability in its eastern territories. Simultaneously, Washington sees Somaliland’s mineral wealth and stable governance as an opportunity to reduce reliance on conflict-affected resources from Ukraine and counter China’s growing influence in Djibouti.

Investments by the UAE in the Berbera Port and Berbera International Airport further enhance Somaliland’s appeal. These developments position Somaliland as a viable alternative to Djibouti, where China maintains a strong economic and military presence, by providing the U.S. with a more capable port and air hub.

For Somaliland, closer ties with the U.S. offer the prospect of foreign investment and greater global recognition. Infrastructure projects—including roads, refineries, and upgraded airports—could stimulate its economy and bolster its stability. Meanwhile, U.S. policymakers see an opportunity to address pressing supply-chain needs while establishing a foothold in a strategically important African region.

Obstacles remain, primarily due to Somaliland’s lack of official recognition as a sovereign state by most countries. This complicates formal agreements and can deter potential investors. However, Somaliland’s consistent commitment to democratic values and its willingness to resist pressure from major powers like China distinguish it in a region often characterized by political instability.

Ultimately, Somaliland’s untapped mineral wealth and the improved infrastructure at Berbera offer more than just an alternative source of raw materials. They represent a potential turning point in the Horn of Africa, one that could support U.S. objectives of diversifying supply chains and balancing China’s influence, while enabling Somaliland to strengthen its international standing. If managed effectively, this partnership could yield benefits extending beyond resources, ushering in a new era in the region’s engagement with the wider world.

Bashe Awil Omar is a diplomat and politician. He served as the Somaliland Representative to the UAE (from 2015-2018) and Kenya (from 2018-2021).

Disclaimer: The views and opinions expressed in DNE Africa Opinion section are those of the writers and do not necessarily reflect the views or positions of DNE Africa.

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