By John Chola

The Tanzania–Zambia Railway Authority (TAZARA) is set for a historic transformation following the signing of a US$1.4 billion concession agreement with the China Civil Engineering Construction Corporation (CCECC), a deal that promises to restore the regional transport lifeline to world-class standards.

TAZARA Managing Director and CEO, Eng. Bruno Ching’andu, told investors and mining stakeholders that the concession would breathe new life into the 1,860-kilometre railway line linking Dar es Salaam in Tanzania to New Kapiri Mposhi in Zambia.

“This concession will mark the beginning of a new era for TAZARA. The investment from CCECC will not only restore our railway infrastructure but also position TAZARA as a key enabler of trade and economic growth between Tanzania and Zambia,” said Ching’andu.

Investment Breakdown

Under the 30-year concession, CCECC will inject:

US$1.0 billion into full rehabilitation of TAZARA’s track infrastructure, improving safety, speed, and freight capacity.

US$400 million for the procurement of 32 brand-new locomotives and 762 wagons, alongside passenger coaches.

Periodic major overhauls and continuous maintenance to ensure long-term operational sustainability.

The agreement structures the first three years for construction and rehabilitation, followed by 27 years of operational management, before assets are handed back fully rehabilitated at the end of the concession.

A Regional Trade Corridor Reborn

The deal was signed in the presence of government ministers from Zambia and Tanzania.

Zambia’s Transport and Logistics Minister Frank Tayali said the revitalisation of TAZARA was more than a transport project—it was a catalyst for regional integration.

“This is about reigniting economic growth, creating opportunities for our youth, and building institutional capacity. It represents a win-win for Zambia, Tanzania, and China, and it will reshape the logistics landscape of our region,” Tayali said.

His Tanzanian counterpart, Professor Makame Mbarawa, stressed that the rehabilitation would unlock trade flows, generate jobs, and enhance connectivity for millions of people across the corridor.

China’s Growing Infrastructure Footprint

CCECC, a subsidiary of China Railway Construction Corporation (CRCC), has undertaken major railway and road projects across Africa.

CRCC Chairman Dai Hegen said the TAZARA deal reflects China’s long-term commitment to Africa’s infrastructure and industrial growth.

“This partnership demonstrates China’s confidence in Africa’s economic future. We will deliver a railway system that matches international standards and serves as a backbone for trade between Tanzania, Zambia, and beyond,” Hegen said.

Strategic Importance

Built in the 1970s with Chinese support, TAZARA has for decades been a symbol of regional cooperation but has faced chronic underinvestment and declining performance.

The new concession is expected to slash transport costs, enhance efficiency in moving copper and bulk goods, and reduce dependency on road haulage.

Industry experts welcomed the deal, noting its potential to make the Dar es Salaam Corridor one of Africa’s most competitive trade routes.

With negotiations nearly complete, the US$1.4 billion lifeline positions TAZARA to reclaim its place as a pivotal artery for southern Africa’s economic development.