$1.4 Billion Deal to Modernize Tazara Railway Boosts Copper Trade in Southern Africa

China, Zambia, and Tanzania have signed a landmark $1.4 billion agreement to modernize the Tanzania–Zambia Railway Authority (Tazara) line, a crucial transport corridor for moving copper and other resources from southern Africa to global markets. The deal, officially announced by the Zambian government, marks a significant step in reviving a railway that has long been vital to trade between the two countries.

Built in the 1970s with Chinese financing and engineering under the vision of Mao Zedong, the 1,860-kilometre (1,160-mile) Tazara line has historically served as a critical trade artery. Decades of underinvestment and wear, however, have reduced the railway’s capacity and efficiency, slowing the movement of goods and limiting its role in regional trade.

Under the new agreement, the China Civil Engineering Construction Corporation (CCECC) will take on a 30-year concession to rehabilitate and operate the railway. The first three years will focus on reconstruction, track upgrades, safety improvements, and restoring the line to full functionality. During the following 27 years, CCECC will manage full operations, including procurement and maintenance of rolling stock. The investment will provide 32 modern locomotives, 762 wagons and passenger coaches, upgraded maintenance workshops, advanced signalling and communication systems, and comprehensive staff training programs.

The revival of Tazara comes amid competing regional transport initiatives, such as the Lobito Corridor in Angola. Once upgraded, the railway will offer a crucial alternative route for landlocked copper producers in Zambia and the Democratic Republic of Congo, bypassing congestion at South African ports and easing the export of copper to international markets.

The modernization is expected to significantly boost trade efficiency, strengthen economic integration between Zambia and Tanzania, and enhance regional infrastructure development. For Zambia, one of the world’s largest copper producers, the upgraded railway could transform export capacity and reduce logistical bottlenecks. By restoring Tazara to its full potential, the railway is set to play a pivotal role in facilitating bulk commodity transport and driving sustainable economic growth across the region.

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