China Civil Engineering Construction Corp (CCECC) has committed to investing US $1.4 billion to modernize the Tanzania-Zambia Railway (TAZARA) project
China Civil Engineering Construction Corp (CCECC) has committed to investing US $1.4 billion to modernize the Tanzania-Zambia Railway (TAZARA) project.
The TAZARA railway, originally built by China in the 1970s, serves as a crucial route for copper and cobalt exports from Central Africa, offering an alternative to South African ports, where logistical challenges have caused shipping delays. The modernization project aims to strengthen trade between Tanzania and Zambia while improving transportation efficiency for the mining sector.
Scope of work
The investment package includes $1 billion for the complete rehabilitation of the 1,860-kilometer railway line, which has suffered from years of neglect and operational challenges. Additionally, $400 million will be allocated for the purchase of 32 new locomotives and 762 wagons, which are expected to enhance the railway’s capacity and reliability.
According to Bruno Ching’andu, Managing Director of the Tanzania-Zambia Railway Authority (TAZARA), negotiations are still underway for a 30-year concession that will allow CCECC to operate and maintain the railway. Ching’andu noted that the decision to seek a concession followed a thorough assessment of TAZARA’s long-standing issues, which required urgent intervention to restore its operational efficiency.
The governments of Tanzania and Zambia have partnered with CCECC to implement this ambitious modernization plan. The project is expected to reduce transportation costs for businesses and passengers while facilitating faster and more reliable logistics for copper exports. This investment also comes amid growing competition from the United States, which is backing the Lobito Corridor — a rival transport route centered around an Angolan port aimed at supporting mineral exports from the region. The upgrade to TAZARA, which follows a 2023 memorandum of understanding between China, Tanzania, and Zambia, represents the most significant improvement to the railway since its original construction.