China to Invest $1.4 Billion in Upgrading Zambia-Tanzania Railway

China Civil Engineering Construction Corporation (CCECC) has committed over $1.4 billion to modernizing the Tanzania-Zambia Railway (TAZARA), a crucial transport link for Zambia’s copper exports to Tanzania’s largest port.

TAZARA serves as a key corridor for transporting copper and cobalt from Central Africa, providing an alternative to South Africa’s congested ports. However, years of neglect have left the railway in dire need of repairs.

Negotiations are underway for a 30-year concession agreement with CCECC, according to Bruno Ching’andu, Managing Director of TAZARA Authority.

“The decision to grant a concession follows an in-depth evaluation of TAZARA’s challenges, which necessitated urgent intervention,” Ching’andu stated.

Investment Breakdown

  • $1 billion will be used to rehabilitate TAZARA’s railway tracks.
  • $400 million will be allocated for acquiring 32 new locomotives and 762 wagons.

Officials believe this investment will boost trade, enhance logistics for mining operations, and lower transportation costs for businesses and passengers.

The modernization project comes amid growing competition, as the United States backs a rival initiative—the Lobito Corridor—which centers around an Angolan port for mineral exports.

Originally constructed in the 1970s with funding from Mao Zedong’s China, the 1,860-kilometer (1,160-mile) TAZARA railway is now undergoing its most significant upgrade in decades. This follows a 2023 memorandum of understanding between China, Tanzania, and Zambia, signaling a renewed commitment to revitalizing this vital transportation network.

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